Bank of America: Keep Your Focus On The Total Picture


  • Bank of America Corporation stock price responded to worries rather than the earnings announcement itself because the market looks forward.
  • The company is far too diversified for “office” and credit card worries (for example) to dominate.
  • The spread between cash costs and investment returns for the bank is widening.
  • There is a Bank of America Corporation automation transition underway in both bill payments and customer assistance that may dominate profits through large cost savings.
  • Money center banks often service the strongest and largest clients.  Therefore, they recover the fastest in the industry.

Bank of America sign against blue sky

J. Michael Jones

Bank of America Corporation (NYSE:BAC) recently issued its latest earnings report. While it would appear that the announcement beat at least some expectations, Mr. Market is in the “worry” mode. Therefore, good news appears to have been minimized while bad

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