31.13 -0.07 (-0.21%)
Pre-Market: 9:01AM EDT
|Bid||31.02 x 34100|
|Ask||31.10 x 900|
|Day's Range||30.75 - 31.37|
|52 Week Range||22.66 - 31.37|
|Beta (3Y Monthly)||1.64|
|PE Ratio (TTM)||11.50|
|Forward Dividend & Yield||0.72 (2.32%)|
|1y Target Est||N/A|
Most of the analysts covering Bank of America stock recommend a “buy.” On Tuesday, Atlantic Equities upgraded the stock to “overweight” from "neutral."
As JPMorgan Chase & Co. gears up for the grand opening of its first Pittsburgh branch on Friday, the bank continues to add to its retail leadership team. Wayne Randall was appointed executive director, Chase Wealth Management for the greater Pittsburgh area, and Cyndi Costa was hired as business development manager. The new post brings him back to his hometown of Pittsburgh after more than a decade.
The Bank of America subsidiary now offers free equity and ETF trades to anyone with $20,000 and up in their qualifying accounts. All others get a fee cut from $6.95 to $2.95.
(Bloomberg Opinion) -- Judging by the rally in the S&P 500 Index on Monday, it would be hard to know that this week is perhaps the most important of the year for equities in terms of fundamentals — and the news likely won’t be all good. That just shows how much of a grip the U.S.-China trade talks have on traders.The catalyst for the gains was some positive, albeit guarded, comments out of both China and the U.S. that talks aimed at reaching the first part of an initial trade deal are advancing. The absolute lack of details doesn’t really matter; it’s the lack of animosity in the rhetoric that traders found encouraging. There’s no question that the trade war has taken a toll on the global economy, and this week investors will likely find out just how lasting the damage will be when a large swath of companies post third-quarter results. Through Friday, some 15% of the S&P 500, or 77 members, had reported and their earnings came in about 2% above consensus estimates, driven by strong results from health-care and consumer-discretionary companies, according to Bank of America Merrill Lynch. This week, though, a whopping 36% of S&P 500 members will report results, led by a number of bellwether companies such as Amazon.com Inc. and Microsoft Corp. that have led stocks higher this year, as well as some key companies that are seen as referendums on the economy, such as Boeing Co. and Caterpillar Inc. There are a couple of things to keep in mind. The first is that if results come in as expected for the third quarter, which is an aggregate drop in earnings of 4%, it would be the first time since the period between Sept. 30, 2015 and June 30, 2016 that the S&P 500 posted three straight declines in profits, according to FactSet. The second is perhaps more important — namely, that this is the quarter companies generally start to provide more firm guidance for the following year. As I have previously written, there’s a good chance that estimates of 10% earnings growth are too high, especially with the International Monetary Fund last week cutting its global gross domestic product forecast for 2019 to an anemic 3% and a still sluggish 3.4% in 2020. Analysts last week lowered their estimates for combined S&P 500 earnings in 2020 by almost $1, to $178.40 a share, according to Bloomberg News. The 0.5% reduction was the biggest for any week since January. This wouldn’t be a problem if stocks were cheap, but they’re not with the S&P 500 trading at about 20 times earnings, having risen from about 16 times in early January.THE BOND MARKET’S RED SEAThe government bond market was a sea of red on Monday, with yields rising in such major markets as the U.S., the euro zone, U.K. and Japan. Before concluding that the jump means bond traders feel the global economy is poised to turn a corner on what is likely to be only a minor agreement between the U.S. and China on trade, consider that the global government yield curve remains inverted. Government debt due in one to three years yields 0.37 percentage point more than debt maturing in seven to 10 years, on average, according to the ICE Bank of America Merrill Lynch indexes. “The fact of the matter is you have the two largest, most relevant superpowers — the U.S. and China — still locked in negotiations which seem to have no near-term resolution in sight,” Ian Lyngen, BMO Capital Market’s head of rates strategy, told Bloomberg News. The just-concluded IMF meetings in Washington made clear that finance ministers from around the world are still reluctant to do what most market participants say is needed to jolt the global economy out of a synchronized slowdown. So while they talked about the need for more fiscal stimulus, there’s little agreement on how to do so.CANADA’S DOLLAR APPRECIATES In the foreign-exchange market, the default is to judge the performance of a currency against the dollar. This makes sense because the greenback is far and away the world’s dominant reserve currency. But doing so sometimes doesn’t provide a complete picture. That may be the case with the Canadian dollar. It’s actually one of the stronger currencies since Oct. 9, appreciating about 1.90% versus the greenback. But that perhaps says more about the U.S. currency’s broad weakness over that period than it does about trader sentiment toward Canada, where the political landscape has become much more muddied. In fact, voters were headed to the polls Monday in what was being forecast as a close election that might see embattled Prime Minister Justin Trudeau retain power, but lose his parliamentary majority and force him to rely on a left-leaning party to survive a second term, according to Bloomberg News. The uncertainty may be one reason Canada’s dollar has appreciated less than 0.1% against a basket of developed-market peers since Oct. 9. A government headed by Trudeau’s Liberal Party but propped up by the New Democratic Party might be a blow to Canada’s energy sector, Bloomberg News reported. The NDP is anti-pipeline, which is a problem for markets given that the country is already suffering from reduced oil prices due to pipeline bottlenecks.PROTESTS ROCK CHILEEmerging markets have been on an upswing lately, with both the MSCI indexes of equities and currencies rising to their highest since early August. But the rising EM tide isn’t lifting all boats. Financial markets in Chile are getting smacked, with the country gripped by what Bloomberg News describes as its worst civil unrest since the nation returned to democracy more than three decades ago. It’s so bad that President Sebastian Pinera declared a state of emergency Friday and called on the army to restore order. The nation’s benchmark IPSA index of equities fell 5%, the most since November 2017 and led by retail companies at risk of looting and the utilities sector. Chile’s peso lost 2% of its value. Chile is important to global markets for one big reason, which is that it’s the world’s largest producer of copper. Workers at BHP Ltd.’s Escondida mine, the world’s largest copper operation, were due to hold a “warning stoppage” for 10 hours starting late Monday or early on Tuesday in solidarity with protests taking place across the country, and an umbrella group of unions and mining federations was calling for a general mining strike on Oct. 23. Copper futures climbed to the highest in more than a month in New York.TEA LEAVESThe question of whether the universally strong U.S. housing data for August was an aberration was partly answered last week when the Commerce Department said housing starts tumbled a greater-than-forecast 9.4% in September after soaring 15.1% the prior month. Another piece to the puzzle will be revealed Tuesday when the National Association of Realtors releases its report on existing home sales for September. The median estimate of economists surveyed by Bloomberg News is for a decline of 0.3%, following a 1.3% jump in August. There’s no question the big drop in mortgage rates has given the residential real estate market a boost, but recent reports showing pressure on consumer confidence and sentiment, along with a drop in retail sales suggest the lift may have only been due to fence sitters jumping into the market rather a sign that there’s dome deep pool of buyers.DON’T MISSNormal Yield Curve Isn't Economic Green Light: Mohamed El-ErianWhat Can Possibly Go Wrong for Sterling?: Marcus AshworthSaudi Arabia's Best Bet Is to Crash the Oil Price: Julian LeeAuthers' Newsletter: Following the Money Leads to a Grim OutlookThe World Economy Is Stumbling Toward Disaster: EditorialTo contact the author of this story: Robert Burgess at email@example.comTo contact the editor responsible for this story: Beth Williams at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Robert Burgess is an editor for Bloomberg Opinion. He is the former global executive editor in charge of financial markets for Bloomberg News. As managing editor, he led the company’s news coverage of credit markets during the global financial crisis.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Markets chugged higher on Monday, as investors gobbled up stocks after a strange finish to last week. Let's look at a few top stock trades as investors gear up for a busy week of earnings. Top Stock Trades for Tomorrow No. 1: Pinterest (PINS)Pinterest (NYSE:PINS) caught a nice boost on Monday after an analyst upgrade from RBC Capital Markets. The rally took PINS stock to the top of its current downtrend.InvestorPlace - Stock Market News, Stock Advice & Trading TipsCan it push through channel resistance (blue line) or will resistance hold strong?If it holds, a retest of $24 could be in store. A channel breakout could send Pinterest stock to the 38.2% retracement at $28.28. Above that, at $28.72, is the 100-day moving average. Moving over that could kickstart a move toward $30. Top Stock Trades for Tomorrow No. 2: Bank of America (BAC)Man, InvestorPlace readers have been all over this Bank of America (NYSE:BAC) trade. Shares didn't quite get down to range support near $26.50 ahead of earnings. * 10 Hot Pot Stocks to Buy Post-earnings, BAC stock has been moving well, spending last week consolidating just below range resistance. On Monday, we have a breakout in the name. Over $30.50 and BAC stock looks good on the long side.Shares are hitting multi-year highs now, and if they continue higher, see if BAC stock can surpass $31.70. Over $32 could cause an even further breakout. Bank of America's unadjusted high from 2018 is up at $33.05, for reference. Top Stock Trades for Tomorrow No. 3: Twitter (TWTR)Twitter (NYSE:TWTR) has spent the month chopping between $39 and $40, as it clings to the 100-day moving average. The 61.8% retracement has been support on the downside, while $40 has been resistance on the upside.The company reports on Thursday before the open, so be aware of that, too.On the downside, look to see if the 61.8% retracement buoys the stock. Below it puts channel support (blue line) and the 200-day moving average near $37 in play. Over $40 puts the 50-day moving average and 78.6% retracement at $41.66 in play. Above that and $44+ is possible. Top Stock Trades for Tomorrow No. 4: Service Now (NOW)Service Now (NYSE:NOW) has been mostly range-bound between $270 to $275 on the upside and $245 to $250 on the downside. Additionally, the 100-day moving average has been resistance, while the 200-day moving average has been support.With range support and the 200-day moving average now giving way as support, it opens up the door to more possible downside in NOW stock.Shares are flirting with a close below the 61.8% retracement too. If they fail to reclaim this mark and the 200-day moving average in a relatively quick manner, more downside could be on the way.The 50% retracement is all the way down near $225. To fill its February gap, Service Now would need to fall below $200 per share, although that kind of slide may not be warranted, especially in the short term. Top Stock Trades for Tomorrow No. 5: Seattle Genetics (SGEN)Seattle Genetics (NASDAQ:SGEN) shares surged on Monday, up more than 15% on positive results for an oral breast cancer drug.Monday's move is a powerful rally, bursting SGEN stock over uptrend resistance (blue line). Sitting between its 123.6% and 138.2% retracements, see if SGEN stock can take one out in either way.Above the 138.2% and SGEN may be able to continue higher. Below the 123.6% and it may need to consolidate before going higher again.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long PINS and BAC. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell Before December's Meltdown * 7 Software Stocks to Buy for Growth * 3 Large-Cap Stocks to Buy After Earnings The post 5 Top Stock Trades for Tuesday: PINS, BAC, TWTR appeared first on InvestorPlace.
Bank of America said Monday its Merrill Edge Self-Directed platform will expands its offer of zero-dollar online trading, offering unlimited commission-free stock, exchange-traded fund and options trading. About 87% of trades on the platform were already commission-free through benefits offered to members of the company's Preferred Rewards program, the company said in a statement. The news comes after Charles Schwab Corp. announced that it would offer fully commission-free trades to its clients, prompting other online discount brokerages to follow suit. Bank of America said clients that are not enrolled in the rewards program will receive flat-trade pricing of $2.95 for online stock and ETF trades, down from $6.95. Bank of America shares rose 0.9% in premarket trade, and have gained 23% in 2019, while the S&P 500 has gained 19%.
Investing.com – Bank of America (NYSE:BAC) on Monday joined some of its peers in cutting trading fees for its retail brokerage clients to zero.
Investing.com - U.S. futures pointed to a slightly higher opening bell on Monday, as chatter continued over the U.S. and China making a temporary trade deal.
Arianna Huffington’s Thrive Global is eyeing greater expansion into clinical operations with its latest acquisition of artificial intelligence platform Boundless Mind.
Also, Wall Street analysts’ views on Toll Brothers, Bank of America, Cathay General Bancorp, Recro Pharma, and IBM
DEEP DIVE J.P. Morgan Chase has a reputation as the “best in class” among the Big Four U.S. banks, but Bank of America might be a better investment if you hold the stock for the next few years, according to Edward Jones analyst James Shanahan.
Earnings season is upon us, and as usual, bank stocks led the way. If you couldn't tell by this week's rally in the S&P 500, the market cheered the results. With the recent gains, more upside could be on the way. Today, we'll look at three bank stocks to buy.Seasonality is also aiding the bulls' cause. The fourth quarter has a history of bull runs in equities. And while deteriorating economic data could be the yin to seaonality's yang (thus thwarting a year-end ramp), the charts remain in favor of buyers.Since the trend of bank stocks lacks the firepower or momentum of other sectors like technology, we can use the options market to build positions that profit from their slower-moving nature.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Reasons to Buy Canopy Growth Stock We'll take a closer look at how to do so in three of my favorite bank stocks below. Bank Stocks to Buy: JPMorgan Chase (JPM)Source: ThinkorSwimSource: ThinkorSwimJPMorgan Chase (NYSE:JPM) is without a doubt the best of breed in the banking space. And I don't even need to dive into fundamental analysis to make the case. The price chart tells all. Just this week, JPM stock jumped to a record high at $121.59 after smashing earnings estimates.Previously, JPM had been working on an 18-month trading range. Breaking out of such a long-term base is bullish. By comparison, the financial sector remains 8% off of last year's highs.Implied volatility dropped significantly after earnings -- and now JPM stock options are cheap. Let's structure a bull call diagonal spread to profit from neutral to bullish price movement over the next month. Buy the Jan $115 call while selling the Nov 22 $122 call for a net debit around $6.30. The trade should profit as long as JPM sits above $119 at expiration. Bank of America (BAC)Source: ThinkorSwimSource: ThinkorSwimWhile Bank of America (NYSE:BAC) doesn't boast the relative strength of JPM, it has rallied to the upper end of its 2019 trading range after posting solid earnings numbers. A break above $31 resistance would bring breakout buyers running, but we can structure a spread to profit even if BAC stock simply consolidates near the ceiling. * The 7 Best Penny Stocks to Buy Like JPM, BAC's implied volatility is in the tank making long premium plays the way to go. We're going to buy a longer-term call option and sell a short-term call against it to create cash flow. Buy the Jan $29 call while selling the Nov 22 $31 call for a net debit around $1.67. You will capture a profit as long as BAC sits above $30 at expiration. Citigroup (C)Source: ThinkorSwimSource: ThinkorSwimCitigroup (NYSE:C) stock has followed in the footsteps of Bank of America this year. Both price charts look similar. Like BAC, C stock is testing the upper end of its 2019 range after earnings, and it sits above all major moving averages. Until resistance near $72.50 gives way, it's hard to get overly bullish. And that's why cash flow strategies that profit from time decay and sideways action are preferable to aggressively directional bets here.Implied volatility is low at the 14th percentile of its one-year range, so we'll deploy a long premium play. Buy the Jan $65 call while selling the Nov 22 $71 call for a net debit around $5.05. The strategy positions you to profit as long as C is above $69 at expiration.As of this writing, Tyler Craig didn't hold positions in any of the aforementioned securities. For a free trial to the best trading community on the planet and Tyler's current home, click here! More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Reasons to Buy Canopy Growth Stock * 7 Restaurant Stocks to Leave on Your Plate * 4 Turnaround Plays to Buy Now The post 3 Bank Stocks to Buy After Earnings appeared first on InvestorPlace.