Bank of America Corp (BAC) Fair Value & Analysis
Financial Services · US · Market cap $423B · ISIN US0605051046
What is Bank of America Corp really worth?
Bank of America Corp
BAC · US
A solid business, but trading 24% above our fair value of $50.87.
Strengths
Risks
For context
Fair value as of: Aug 29, 2026
From 6 valuation models · updated 7 days ago
Share price +0.2% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- Solid but not exceptional quality (57/100) and above fair value, neither a clear bargain nor a standout compounder.
- For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 29, 2026.
How to read this chart
60‑month range $23.54 – $64.81 · fair‑value band $38.16 – $63.59 · the $63.04 price screens above the $50.87 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Aug 29, 2026.
Analysis
Bank of America Corp (BAC) currently trades at $63.04, while our model-based Fair Value estimate is $50.87, implying the stock looks roughly 23.9% overvalued today. The Quality Score stands at 57/100 (solid quality), in the Financial Services sector. Bull case: the Multiples group reads highest at a median of $55.89 per share, and 0 of the 6 models we run sit above the $63.04 price. Bear case: the Dividend Discount group reads lowest at $23.12, and 6 of the 6 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, Bank of America Corp generated revenue of $110B at a net margin of 29.0%. Revenue grew 8.1% year over year. It earns a return on equity of 10.6%. Net debt stands at $134B. Fundamentals as of Aug 29, 2026
Our scenario range runs from $38.16 (bear case) to $63.59 (bull case); at $63.04, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 48% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −8% fair-value upside, at −19%, BAC screens richer than that median.
Fair Value models
This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly $1.98 per share, which is 3.9 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 6 models by family
Widest divergence: Multiples ($55.89) versus Dividend Discount ($23.12). Highest evidence: Residual Income (74).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 29, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 51 · Market factors (momentum, volatility) 72
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Bank of America Corporation, through its subsidiaries, provides various financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments worldwide.
Full company description
Bank of America Corporation, through its subsidiaries, provides various financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments worldwide. It operates through four segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, and Global Markets. The Consumer Banking segment offers traditional and money market savings accounts, certificates of deposit and IRAs, checking accounts, and investment accounts and products; credit and debit cards; residential mortgages and home equity loans; and direct and indirect loans. The GWIM segment provides investment management, brokerage, banking, and trust and retirement products and services; wealth management solutions; and customized solutions, including specialty asset management services. The Global Banking segment offers lending products and services, including commercial loans, leases, commitment facilities, trade finance, and commercial real estate and asset-based lending; treasury solutions, and underwriting and advisory services. The Global Markets segment provides market-making, financing, securities clearing, settlement, and custody services; securities and derivative products; and risk management products using interest rate, equity, credit, currency and commodity derivatives, foreign exchange, fixed-income, and mortgage-related products. Bank of America Corporation was founded in 1784 and is based in Charlotte, North Carolina.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Bank of America Corp reported revenue of $192B in FY2025 versus $89.1B in FY2021, a compound +21.1%/yr. Reported net income was $30.5B in FY2025, compounding −1.2%/yr from FY2021.
of which total revenue +7.9 % · buybacks/dilution +3.8 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
BAC screens 24% overvalued. Compare with JPMorgan Chase & Co →
Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Bank of America Falls as 21 Firms Challenge Tether
- Bank of America (BAC), What Is Behind The Fresh Attention?
Peer Group
Banks - Diversified · 48 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Banks - Diversified median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Insider activity: 42/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Banks - Diversified stocks, each showing price versus our Fair Value estimate (as of Aug 29, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| JPMorgan Chase & Co JPM | $354.22 | $217.97 | −38% |
| China Construction Bank Corporation 601939 | ¥10.55 | ¥18.21 | +73% |
| Industrial and Commercial Bank of China Limited 601398 | ¥7.86 | ¥14.44 | +84% |
| HSBC Holdings HSBC | $103.14 | $75.89 | −26% |
| Agricultural Bank of China Limited 601288 | ¥6.79 | ¥12.94 | +91% |
| Royal Bank of Canada RY | C$283.11 | C$151.80 | −46% |
| Bank of China Limited 601988 | ¥6.14 | ¥11.24 | +83% |
| Wells Fargo & Company WFC | $86.69 | $79.60 | −8% |
| Mitsubishi UFJ Financial Group MUFG | $22.90 | $20.50 | −10% |
| Citigroup Inc C | $132.90 | $117.65 | −11% |
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