Bank of America (NYSE:BAC) Is Increasing Its Dividend To $0.28
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U.S. Financials Sector Analysis
UpdatedAug 27, 2025
DataAggregated Company Financials
Companies1347
- 7D2.3%
- 3M7.6%
- 1Y20.7%
- YTD11.3%
The Financials industry is up 2.3% in the last week, with JPMorgan Chase up 2.7%. In the last 12 months, the industry was up 21%. As for the next few years, earnings are expected to grow by 12% per annum.
Sector Valuation and Performance
Has the U.S. Financials Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 27 Aug 2025 | US$10.3t | US$3.3t | US$517.7b | 13.1x | 19.8x | 3.1x |
| Fri, 25 Jul 2025 | US$10.2t | US$3.0t | US$532.1b | 12.9x | 19.1x | 3.4x |
| Sun, 22 Jun 2025 | US$9.4t | US$3.0t | US$525.5b | 12.3x | 18x | 3.1x |
| Tue, 20 May 2025 | US$9.7t | US$3.0t | US$523.5b | 12.8x | 18.6x | 3.2x |
| Thu, 17 Apr 2025 | US$8.9t | US$3.0t | US$541.9b | 11.4x | 16.5x | 3x |
| Sat, 15 Mar 2025 | US$9.0t | US$3.0t | US$553.2b | 11.9x | 16.2x | 3x |
| Mon, 10 Feb 2025 | US$10.0t | US$3.0t | US$554.0b | 12.6x | 18x | 3.4x |
| Wed, 08 Jan 2025 | US$9.4t | US$2.9t | US$505.8b | 12.7x | 18.5x | 3.2x |
| Fri, 06 Dec 2024 | US$9.7t | US$2.9t | US$504.7b | 13.6x | 19.3x | 3.3x |
| Sun, 03 Nov 2024 | US$8.9t | US$2.9t | US$472.6b | 12.6x | 18.9x | 3.1x |
| Tue, 01 Oct 2024 | US$8.7t | US$2.8t | US$466.5b | 12.5x | 18.6x | 3.1x |
| Thu, 29 Aug 2024 | US$8.6t | US$2.8t | US$465.9b | 12.5x | 18.4x | 3x |
| Sat, 27 Jul 2024 | US$8.2t | US$2.8t | US$465.3b | 12.5x | 17.7x | 2.9x |
| Mon, 24 Jun 2024 | US$7.9t | US$2.8t | US$463.0b | 10.5x | 17x | 2.8x |
| Wed, 22 May 2024 | US$8.0t | US$2.8t | US$463.2b | 11x | 17.4x | 2.9x |
| Fri, 19 Apr 2024 | US$7.6t | US$2.7t | US$474.3b | 10.4x | 16.1x | 2.8x |
| Sun, 17 Mar 2024 | US$7.8t | US$2.7t | US$473.0b | 10.5x | 16.4x | 2.9x |
| Tue, 13 Feb 2024 | US$7.5t | US$2.7t | US$431.8b | 10.6x | 17.4x | 2.8x |
| Thu, 11 Jan 2024 | US$7.4t | US$2.7t | US$447.7b | 11.3x | 16.5x | 2.7x |
| Sat, 09 Dec 2023 | US$7.0t | US$2.7t | US$446.5b | 11x | 15.7x | 2.6x |
| Mon, 06 Nov 2023 | US$6.6t | US$2.7t | US$448.0b | 10.8x | 14.7x | 2.5x |
| Wed, 04 Oct 2023 | US$6.5t | US$2.7t | US$430.9b | 10.2x | 15x | 2.4x |
| Fri, 01 Sep 2023 | US$6.8t | US$2.7t | US$435.0b | 10.7x | 15.6x | 2.5x |
| Sun, 30 Jul 2023 | US$6.9t | US$2.6t | US$350.9b | 11.2x | 19.5x | 2.6x |
| Tue, 27 Jun 2023 | US$6.3t | US$2.6t | US$341.2b | 10.4x | 18.6x | 2.4x |
| Thu, 25 May 2023 | US$6.2t | US$2.6t | US$341.5b | 10.3x | 18.1x | 2.4x |
| Sat, 22 Apr 2023 | US$6.5t | US$2.6t | US$323.5b | 10.5x | 20x | 2.5x |
| Mon, 20 Mar 2023 | US$5.0t | US$2.4t | US$306.9b | 10.6x | 16.2x | 2.1x |
| Wed, 15 Feb 2023 | US$5.9t | US$2.4t | US$341.6b | 11.7x | 17.2x | 2.4x |
| Fri, 13 Jan 2023 | US$5.7t | US$2.4t | US$369.1b | 11.7x | 15.5x | 2.4x |
| Sun, 11 Dec 2022 | US$5.5t | US$2.4t | US$369.3b | 11.7x | 14.9x | 2.3x |
| Tue, 08 Nov 2022 | US$5.5t | US$2.4t | US$381.7b | 11.7x | 14.4x | 2.3x |
| Thu, 06 Oct 2022 | US$5.2t | US$2.4t | US$408.3b | 11.2x | 12.9x | 2.2x |
| Sat, 03 Sep 2022 | US$5.3t | US$2.4t | US$397.6b | 11.4x | 13.4x | 2.2x |
Price to Earnings Ratio
13.4x
Current Industry PE
- Investors are optimistic on the American Financials industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 19.8x which is higher than its 3-year average PE of 17.1x.
- The 3-year average PS ratio of 2.8x is lower than the industry's current PS ratio of 3.1x.
Past Earnings Growth
- The earnings for companies in the Financials industry have grown 9.2% per year over the last three years.
- Revenues for these companies have grown 12% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the U.S. Financials sector?
| US Market | 1.32% | |
| Financials | 2.25% | |
| Consumer Finance | 5.18% | |
| Banks | 4.13% | |
| Capital Markets | 1.94% | |
| Mortgage REITs | 1.68% | |
| Diversified Financial | 1.60% | |
| Mortgage Finance | 0% | 0 |
| Insurance | -0.18% | |
Industry PE
- Investors are most optimistic about the Capital Markets industry which is trading above its 3-year average PE ratio of 24.5x.
- Analysts are expecting annual earnings growth of 13.5%, which is lower than the prior year's growth of 15.8% per year.
- Investors are most pessimistic about the Banks industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 11.7x.
Forecasted Growth
- Analysts are most optimistic on the Mortgage REITs industry, expecting annual earnings growth of 54% over the next 5 years.
- This is better than its past earnings decline of 11% per year.
- In contrast, the Banks industry is expected to see its earnings grow by 8.7% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| JPM JPMorgan Chase | US$298.57 | 2.7% +US$21.8b | 35.6% | PB2.4x | |
| V Visa | US$351.18 | 2.5% +US$16.8b | 29.7% | PE33.7x | |
| BAC Bank of America | US$50.25 | 4.5% +US$16.1b | 26.7% | PB1.3x | |
| BRK.A Berkshire Hathaway | US$737.18k | 1.4% +US$14.4b | 6.6% | PE16.9x | |
| WFC Wells Fargo | US$81.51 | 5.1% +US$12.7b | 44.9% | PB1.6x |