Bank of America(BAC) ZACKS·2025-01-03 16:10Core Viewpoint - Bank of America (BAC) is anticipated to report a year-over-year increase in earnings driven by higher revenues for the quarter ended December 2024, with actual results being a significant factor influencing its near-term stock price [1][2]. Earnings Expectations - The consensus estimate for Bank of America's quarterly earnings is 25.25 billion, which is a 15% increase compared to the same quarter last year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised 0.5% higher, indicating a collective reassessment by covering analysts [4]. - The Most Accurate Estimate for Bank of America is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -3.44%, suggesting a bearish outlook from analysts [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model compares the Most Accurate Estimate to the Zacks Consensus Estimate, with a positive Earnings ESP indicating a higher likelihood of an earnings beat [6][8]. - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [8]. Historical Performance - In the last reported quarter, Bank of America exceeded the expected earnings of 0.81, resulting in a surprise of +3.85% [12]. - The company has beaten consensus EPS estimates in the last four quarters [13]. Conclusion - Despite the potential for an earnings beat, Bank of America does not currently appear to be a compelling candidate for such an outcome, and investors should consider other factors before making investment decisions [16].