Investing
Unusual Put Option Trade in Bank of America Worth $671.64K
Published:
Last Updated:
On May 2, 2023 at 11:59:18 ET an unusually large $671.64K block of Put contracts in Bank Of America (BAC) was bought, with a strike price of $28.00 / share, expiring in 45 day(s) (on June 16, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 2.03 sigmas above the mean, placing it in the 97.79th percentile of all recent large trades made in BAC options.
This trade was first picked up on Fintel’s real time Options Flow tool, where unusual option trades are highlighted.
What is the Fund Sentiment?
There are 4001 funds or institutions reporting positions in Bank Of America. This is an increase of 72 owner(s) or 1.83% in the last quarter. Average portfolio weight of all funds dedicated to BAC is 0.72%, a decrease of 7.08%. Total shares owned by institutions increased in the last three months by 0.24% to 6,318,292K shares. The put/call ratio of BAC is 1.00, indicating a bearish outlook.
Analyst Price Forecast Suggests 28.33% Upside
As of April 24, 2023, the average one-year price target for Bank Of America is $37.27. The forecasts range from a low of $28.28 to a high of $49.35. The average price target represents an increase of 28.33% from its latest reported closing price of $29.04.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Bank Of America is $104,670MM, an increase of 10.72%. The projected annual non-GAAP EPS is $3.72.
What are Other Shareholders Doing?
Peapack Gladstone Financial holds 736K shares representing 0.01% ownership of the company. In it’s prior filing, the firm reported owning 739K shares, representing a decrease of 0.38%. The firm increased its portfolio allocation in BAC by 5.52% over the last quarter.
John Hancock Financial Opportunities Fund holds 371K shares representing 0.00% ownership of the company. In it’s prior filing, the firm reported owning 404K shares, representing a decrease of 8.78%. The firm decreased its portfolio allocation in BAC by 4.05% over the last quarter.
FIL holds 4,601K shares representing 0.06% ownership of the company. In it’s prior filing, the firm reported owning 5,166K shares, representing a decrease of 12.26%. The firm decreased its portfolio allocation in BAC by 99.96% over the last quarter.
RUFF – Alpha Dog ETF holds 19K shares representing 0.00% ownership of the company.
AVGIX – Vp Income & Growth Fund Class I holds 59K shares representing 0.00% ownership of the company. In it’s prior filing, the firm reported owning 170K shares, representing a decrease of 188.70%. The firm decreased its portfolio allocation in BAC by 66.80% over the last quarter.
Bank Of America Declares $0.22 Dividend
On April 26, 2023 the company declared a regular quarterly dividend of $0.22 per share ($0.88 annualized). Shareholders of record as of June 2, 2023 will receive the payment on June 30, 2023. Previously, the company paid $0.22 per share.
At the current share price of $29.04 / share, the stock’s dividend yield is 3.03%. Looking back five years and taking a sample every week, the average dividend yield has been 2.31%, the lowest has been 1.54%, and the highest has been 3.98%. The standard deviation of yields is 0.45 (n=237).
The current dividend yield is 1.61 standard deviations above the historical average.
Additionally, the company’s dividend payout ratio is 0.25. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company’s 3-Year dividend growth rate is 0.22%, demonstrating that it has increased its dividend over time.
Bank Of America Background Information
(This description is provided by the company.)
Bank of America is one of the world’s leading financial institutions, serving individual consumers, small and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 66 million consumer and small business clients with approximately 4,300 retail financial centers, including approximately 2,900 lending centers, 2,500 financial centers with a Consumer Investment Financial Solutions Advisor and approximately 2,300 business centers; approximately 17,000 ATMs; and award-winning digital banking with approximately 39 million active users, including approximately 31 million mobile users. Bank of America is a global leader in wealth management, corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 3 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations across the United States, its territories and approximately 35 countries. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.
See all Bank Of America regulatory filings.
This article originally appeared on Fintel
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
