Quick assessment of Bank of America Corp. (NYSE:BAC)


Shares of Bank of America Corporation (NYSE:BAC) are currently poised at 0.46% from the open today and are trading at $23.89. More than 34,127,044 shares have exchanged hands compared to an average trading volume of 95.41M. At the current pps, the market cap stands at $239.76B. The stock prices of Bank of America Corporation (NYSE:BAC) are currently trading at -7.40% below its 52 week high and 100.53% above its 52 week low.

Bank of America Corporation (NYSE:BAC) has been in the news for all the right reasons. Recently, Bank of America Corporation (NYSE:BAC) announced the bank will be the lead anchor tenant at 110 North Wacker Drive, a new world-class office building on the Chicago River. The agreement completes the next milestone in the highly-anticipated 51-story downtown building, a collaboration between The Howard Hughes Corporation, joint venture partner Riverside Investment & Development, architect Goettsch Partners and agency representative CBRE.

Bank of America Corporation (NYSE:BAC) is all set to announce its earnings on Apr 18/b. As per Zack’s analyst ratings, Bank of America Corporation (NYSE:BAC) currently has an average brokerage rating of 1.86. On a scale of 1 to 5, a rating of 1 or 2 would indicate a buy, and a rating of 4 or 5 would signify a sell recommendation. A rating of 3 would indicate a hold on the stock. The consensus target price on (NYSE:BAC) is $25.437 with a high of $28 and a low of $20.

The Exponential Moving Average (EMA) is similar to a simple moving average (average price over a set period) but it utilizes a weighting factor that exponentially declines from the most recent data point (recent prices are weighted higher than oil prices). EMA analysis compares the short term (5 days and 13 days), intermediate term (20 days) and long term (50 days) EMA’s. The respective EMA’s will give bullish signals when trading above trailing EMA’s and below the current price and vice versa. EMA alerts include crossovers (i.e the 5 day EMA crosses above/below the 20 day EMA) and EMA convergencies (5 day EMA equivalent to 13 day EMA). The long term and short term EMA’s of 23.79 and 23.50 are lower than the current trading price suggesting a bullish pattern in both short term as well as long term.

The relative strength index (RSI) is a momentum oscillator that is able to measure the velocity and magnitude of stock price changes. Momentum is calculated as the ratio of positive price changes to negative price changes. The RSI analysis compares the current RSI against neutral(50), oversold (30) and overbought (70) conditions. Alerts will inform you when stocks recede from oversold/overbought levels or breakthrough neutral (50). The current RSI is 56.81 suggesting a bullish price action.

Let’s take a look at the technical analysis.

The Barchart Technical Opinion rating is a 24% Buy with a Average short term outlook on maintaining the current direction. Longer term, the trend strength is Minimum. Long term indicators fully support a continuation of the trend.

As such, while we believe Bank of America Corporation (NYSE:BAC) represents a compelling growth story exposed to several secularly attractive markets, it would be interesting to see how it fairs for long-term investors.

Bank of America Corp. is one of the world’s leading financial services companies. Bank of America provides individuals, small businesses and commercial, corporate and institutional clients across the United States and around the world new and better ways to manage their financial lives. The company enables customers to do their banking and investing whenever, wherever and however they choose.