Bank of America (BAC) Target Cut at Morgan Stanley on Earnings Revisions

Core Insights - Bank of America Corporation (NYSE:BAC) is recognized as one of the 15 Best Blue-Chip Stocks with Growing Dividends [1] - Morgan Stanley has reduced its price target for Bank of America to $68 from $70, while maintaining an Overweight rating, reflecting adjustments in earnings expectations due to softer investment banking fees and higher expenses [2] - Bank of America’s shares reached a record high of $55.14, the first since before the 2008 financial crisis, symbolizing a significant recovery for the bank [3] Financial Performance and Strategy - Following the 2008 financial crisis, Bank of America undertook a long recovery process, closing hundreds of underperforming branches and reducing its workforce significantly, while expanding Merrill Lynch's operations and growing its consumer and commercial banking footprint [4] - The bank's deposits have reached $1.96 trillion, making it the second-largest in the U.S. after JPMorgan Chase [4] - At its recent investor day, CEO Brian Moynihan set financial targets aiming for returns on tangible common equity of 16% to 18% over the next three to five years, emphasizing the importance of coordination across business lines [5] Company Overview - Bank of America Corporation is a global financial institution with a comprehensive platform that includes banking, investing, wealth management, and lending services for both individual and institutional clients worldwide [6]