Here's What Analysts Are Forecasting For Bank of America Corporation (NYSE:BAC) Following Its Earnings Miss

As you might know, Bank of America Corporation (NYSE:BAC) last week released its latest full-year, and things did not turn out so great for shareholders. Results look to have been somewhat negative - revenue fell 6.3% short of analyst estimates at US$94b, and statutory earnings of US$3.08 per share missed forecasts by 6.2%. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

View our latest analysis for Bank of America

Taking into account the latest results, the most recent consensus for Bank of America from 18 analysts is for revenues of US$100.3b in 2024. If met, it would imply a credible 6.5% increase on its revenue over the past 12 months. Statutory per-share earnings are expected to be US$3.20, roughly flat on the last 12 months. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$100.8b and earnings per share (EPS) of US$3.25 in 2024. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

There were no changes to revenue or earnings estimates or the price target of US$37.17, suggesting that the company has met expectations in its recent result. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Bank of America, with the most bullish analyst valuing it at US$50.00 and the most bearish at US$30.00 per share. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Bank of America's past performance and to peers in the same industry. It's clear from the latest estimates that Bank of America's rate of growth is expected to accelerate meaningfully, with the forecast 6.5% annualised revenue growth to the end of 2024 noticeably faster than its historical growth of 3.1% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 4.7% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Bank of America is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at US$37.17, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for Bank of America going out to 2026, and you can see them free on our platform here.

We also provide an overview of the Bank of America Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.