Financial Data and Key Metrics Changes - The company reported a net income of $6.7 billion for Q4 2024, translating to an EPS of $0.82, marking a solid finish to the year [8][24] - For the full year 2024, revenue reached $102 billion with a net income of $27.1 billion and an EPS of $3.21, achieving a return on assets of 83 basis points and a 13% return on tangible common equity [10][22] - The fourth quarter revenue was $25.5 billion, up 15% year-over-year, and up 8% when excluding the previous year's BSBY cessation charge [26][27] Business Line Data and Key Metrics Changes - Consumer Banking generated $10.6 billion in revenue and $2.8 billion in net income for Q4, both showing modest growth from the previous year [57] - Wealth Management reported $6 billion in revenue for Q4, growing 15% year-over-year, with net income rising 15% to nearly $1.2 billion [63] - Global Banking generated $8.1 billion in earnings for 2024, with investment banking fees in Q4 growing 44% year-over-year to $1.7 billion [66][68] Market Data and Key Metrics Changes - The company ended the year with $953 billion in liquidity, reflecting strong client activity and a healthy economic environment [11][12] - Deposits grew by $35 billion in Q4, with total deposits reaching $952 billion, indicating a recovery in consumer banking deposits [31][60] - Commercial loans grew 5% year-over-year, while consumer loans showed growth across all categories linked quarter [16][36] Company Strategy and Development Direction - The company aims to drive organic growth across all business lines, with a focus on deposit franchise growth and maintaining a disciplined pricing strategy [14][15] - Investment in technology and brand continues, with significant partnerships announced to enhance service offerings [48][50] - The company is positioned for growth in 2025, expecting record net interest income driven by improved loan and deposit growth [12][41] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in a stable economic environment with GDP growth expected between 2% to 3% [11] - The company anticipates continued growth in net interest income, projecting a 6% to 7% increase in 2025 compared to 2024 [41][79] - Management noted that consumer spending remains strong, with early January spending up 4% to 5% year-over-year [11] Other Important Information - The company returned $21 billion to shareholders in 2024, a 75% increase from 2023, including an 8% increase in the common dividend [22] - The CET1 ratio improved to 11.9%, providing a buffer above the regulatory requirement [33] Q&A Session Summary Question: Drivers of NII growth in '25 - Management highlighted deposit growth and increased loan demand as key drivers for net interest income growth, with expectations for continued acceleration in the second half of 2025 [83][87] Question: Confidence in delivering sustainable operating leverage - Management expressed confidence based on historical performance and current growth rates, emphasizing the importance of stable headcount and expense management [90][92] Question: Capital targets and buyback strategy - Management indicated a focus on maintaining a CET1 buffer while continuing to return capital to shareholders through dividends and buybacks [113][115] Question: Trading performance and business mix - Management noted consistent year-over-year growth in trading revenues, emphasizing a stable business model that avoids volatility [125][127] Question: Credit reserves and economic outlook - Management clarified that reserve levels are based on conservative estimates, with expectations for stable unemployment and GDP growth [129][131]

Digital Transformation and Consumer Engagement - 61% of consumer sales are now made through digital channels, up from 49% a year ago [1] - 78% of households are "digitally active," up from 75% a year ago [1] - Interactions with Erica, the virtual financial assistant, reached 171.5 million in the latest quarter, up from 122.9 million last year [2] - Zelle peer-to-peer payments totaled $127 billion in Q4, up from $101 billion in the same quarter last year [2] Financial Performance and Growth - Revenue grew year-over-year across all business segments [2] - Net new checking accounts increased by 1.1 million, and 4 million new credit card accounts were added in 2024 [4] - Consumer deposits stood at $942 billion in Q4, up slightly from $938 billion in Q3 [4] - Commercial loans grew 5% year-over-year, with loan and deposit growth expected to outpace last year's [5] Consumer Spending and Economic Outlook - Consumer spending in the first two weeks of January increased by 4% to 5% compared to last year [3] - The economy is settling into a 2% to 3% GDP growth environment, supported by healthy employment [3] - Credit card loss rates were 3.79% in Q4, up 0.09% from Q3 [5] Deposit and Loan Trends - Consumer banking deposits appear to have bottomed in mid-August, with a floor forming after periods of decline [6] - Average checking account balances are stable at around $9,000, down from a peak of $11,000 in previous years [6] - Increased optimism among clients is driving demand for loan growth and deposit growth [6] Small Business and Commercial Banking - Small business and middle-market lending activity remains lower than pre-pandemic levels [7] - Optimism among small businesses has improved due to a shifting regulatory environment and reduced election uncertainty [7] - The company aims to translate this optimism into increased loan growth [8]

About the Author and Publisher - Oliver Haill has been writing about companies and markets since the early 2000s, with a focus on AIM companies and small caps before transitioning to roles as a section editor and head of research [1] - Proactive provides fast, accessible, and actionable business and finance news content to a global investment audience, produced independently by experienced and qualified news journalists [2] - The company has bureaus and studios in key finance hubs including London, New York, Toronto, Vancouver, Sydney, and Perth [2] Market Expertise and Coverage - Proactive specializes in medium and small-cap markets while also covering blue-chip companies, commodities, and broader investment stories [3] - The team delivers news and unique insights across various sectors including biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] Use of Technology - Proactive is a forward-looking and enthusiastic adopter of technology, equipping its human content creators with decades of expertise and experience [4] - The company occasionally uses automation and software tools, including generative AI, but all content is edited and authored by humans in line with best practices for content production and SEO [5]

Today’s pre-market is rife with economic data. Even though yesterday’s Consumer Price Index (CPI) carried as much impact by itself as these numbers together might expect to, they’re still worth giving our attention. The Dow is -147 points lower at this moment ahead of the open, while the S&P 500 is +7 and the Nasdaq +74 points.Weekly Jobless Claims Remain CoolNow that we’re pulling Weekly Jobless Claims data from the holiday shopping season — which pulled additional temporary retail and warehouse jobs that ...

Bank of America 4Q24 Financial Results January 16, 2025 2024 Highlights | Solid earnings | Strong balance sheet | Healthy returns | | --- | --- | --- | | | | Return on avg. | | Revenue1 | Deposits $1.97T | common equity | | $101.9B | increased 2% YoY | 9.5% | | Net income | CET1 11.9%2 | Return on avg. tangible | | $27.1B | well above reg. min.3 | common equity5 | | | | 12.9% | | EPS | Robust liquidity | | | $3.21 | GLS $953B4 | Return on avg. assets | | | | 0.83% | 1 Net of interest expense. 2 CET1 stands ...

Earnings and Revenue Performance - Bank of America Corp reported better-than-expected Q4 earnings with profits of $6 67 billion or 82 cents per share more than doubling from the same quarter a year ago [1] - The company provided upbeat 2025 guidance which has been positively received by investors [1] Stock Performance - BAC stock was down 0 8% to $46 74 paring earlier gains despite a 2 9% jump the previous day marking its largest single-session gain since November [2] - The stock has risen 6 6% since the start of the month and is up 47 3% year-over-year [2] Options Trading Activity - BAC has seen 82 000 calls exchanged double the typical amount compared to 35 000 puts with the January 47 50 call being the most popular [3] - The 10-day call/put volume ratio of 1 89 at ISE CBOE and PHLX ranks higher than 86% of readings from the past year indicating unusually high call activity [4]

Bank of America’s (BAC) fourth-quarter 2024 earnings of 82 cents per share surpassed the Zacks Consensus Estimate of 77 cents. The bottom line compared favorably with adjusted earnings of 70 cents in the prior-year quarter.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Behind BAC’s Headline NumbersTotal investment banking (IB) fees (in the Global Banking division) of $985 million surged 43% year over year, driven by growth in underwriting income and advisory services revenues. Simi ...

Earnings and Revenue Performance - Bank of America reported $25.35 billion in revenue for Q4 2024, a 15.4% YoY increase [1] - EPS for the quarter was $0.82, compared to $0.70 a year ago [1] - Revenue exceeded Zacks Consensus Estimate of $25.13 billion by 0.88% [1] - EPS surpassed consensus estimate of $0.77 by 6.49% [1] Key Metrics Analysis - Net interest income/yield on earning assets: 2% vs 1.9% estimate [4] - Book value per share: $35.79 vs $35.58 estimate [4] - Efficiency Ratio (FTE basis): 65.8% vs 62.4% estimate [4] - Net charge-off / Average Loans: 0.5% vs 0.6% estimate [4] - Total earning assets: $2,928.73 billion vs $2,948.29 billion estimate [4] - Total nonperforming loans: $6.12 billion vs $6.45 billion estimate [4] - Tier 1 Capital Ratio: 13.2% vs 13% estimate [4] - Tier 1 Leverage Ratio: 6.9% vs 6.8% estimate [4] - Net Interest Income (FTE basis): $14.51 billion vs $14.35 billion estimate [4] - Total Noninterest Income: $10.99 billion vs $11.01 billion estimate [4] - Service charges: $1.55 billion vs $1.51 billion estimate [4] Stock Performance and Market Position - Bank of America shares returned +8.3% over the past month [3] - Zacks S&P 500 composite showed -1.6% change during the same period [3] - The stock currently has a Zacks Rank 3 (Hold) [3]

Earnings Performance - Bank of America reported quarterly earnings of $0 82 per share, beating the Zacks Consensus Estimate of $0 77 per share, representing a 6 49% earnings surprise [1] - The company's earnings per share (EPS) increased from $0 70 per share a year ago, adjusted for non-recurring items [1] - Over the last four quarters, the company has consistently surpassed consensus EPS estimates [2] Revenue Growth - Bank of America posted revenues of $25 35 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 0 88% [2] - This represents a significant increase from year-ago revenues of $21 96 billion [2] - The company has topped consensus revenue estimates in each of the last four quarters [2] Stock Performance - Bank of America shares have gained approximately 7 2% since the beginning of the year, outperforming the S&P 500's gain of 1 2% [3] - The stock's immediate price movement will largely depend on management's commentary during the earnings call [3] Earnings Outlook - The current consensus EPS estimate for the coming quarter is $0 85 on $26 6 billion in revenues [7] - For the current fiscal year, the consensus EPS estimate is $3 66 on $106 77 billion in revenues [7] - The company's earnings outlook, including any changes in consensus expectations, will be a key factor for investors [4] Industry Context - Bank of America operates in the Zacks Financial - Investment Bank industry, which is currently ranked in the top 6% of over 250 Zacks industries [8] - The top 50% of Zacks-ranked industries historically outperform the bottom 50% by a factor of more than 2 to 1 [8] Peer Comparison - Piper Sandler Companies (PIPR), another company in the same industry, is expected to report quarterly earnings of $3 62 per share, representing a year-over-year decline of 10 2% [9] - Piper Sandler Companies' revenues are expected to be $435 17 million, down 7 8% from the year-ago quarter [9] - The consensus EPS estimate for Piper Sandler Companies has remained unchanged over the last 30 days [9]

Bank of America reported robust earnings for Q4 2024, outperforming estimates with a huge increase in net income.Banking giant Bank of America (BAC 2.88%) reported fourth-quarter earnings on Thursday, Jan. 16, that outperformed Wall Street's expectations. EPS of $0.82 came in ahead of the consensus estimate of $0.77. Revenue was a strong $25.3 billion, slightly above expectations of $25.1 billion. This performance marks a pivotal quarter, demonstrating significant financial growth and robust earnings despit ...