• Bank of America Corporation (NYSE:BAC) gears up for fourth-quarter earnings with an estimated EPS of $0.78 and projected revenue of $25.1 billion.
• The anticipated net interest income stands at $14.18 billion, with overall revenue expected at $24.95 billion.
• Key financial metrics reveal a P/E ratio of 15.16, price-to-sales ratio of 3.71, and an earnings yield of about 6.60%.

Bank of America Corporation, trading as NYSE:BAC, holds a significant position in the financial arena, delivering a broad array of banking and financial services, rivaling giants like JPMorgan Chase and Wells Fargo. As it aims for an earnings report on January 16, 2025, analysts are closely watching its performance metrics.

Wall Street expects Bank of America’s earnings per share (EPS) to equal $0.78, with projected revenue at around $25.1 billion. Barclays senior equity analyst Jason Goldberg pointed out on ‘Squawk Box’ that the banking sector faces scrutiny as market participants evaluate big banks’ health and prospects. Bank of America has reported solid performance in 2024, thanks to its wealth management and investment banking initiatives.

The bank’s net interest income is forecasted at $14.18 billion, managing to project total revenue of approximately $24.95 billion, suggesting consistent growth year-over-year. Analysts remain optimistic, with 11 out of 12 ratings by Visible Alpha trending towards “buy” or equivalent action. A price target of around $52 hints at a prospective increase of 16% from recent closing figures.

Overall, the bank’s financial metrics shed light on its valuation and operational efficiency. The P/E ratio stands at 15.16, indicating market expectations on earnings. Price-to-sales ratio is 3.71 while the enterprise value or sales ratio equals 4.14, revealing how market value connects to sales and revenue.

The earnings yield equals approximately 6.60%, demonstrating returns on investment. Meanwhile, a debt-to-equity ratio of 1.13 signifies mild debt usage, and a current ratio of 6.24 showcases robust liquidity, reinforcing the bank’s ability to manage short-term liabilities effectively.