Bank of America Earnings Hit by $1.6 Billion LIBOR and $2.1 Billion FIDC Related Charges

Bank of America, America’s second largest bank reported weaker than expected fourth earnings Friday. BAC net income fell to $3.1 billion, or 35 cents per share, in the quarter, down over 50% from $7.1 billion, or 85 cents per share, a year ago. Revenue of $22.1 billion fell short of Wall Street’s estimates for the first time in two years and was down 10% from the year-ago period. The bank was hit by a pretax charge of $1.6 billion related … Continue reading “Bank of America Earnings Hit by $1.6 Billion LIBOR and $2.1 Billion FIDC Related Charges”

Bank of America Earnings Boosted by Trading as Debt Securities Portfolio Losses at $131.6 bln from $105.8 Billion

Bank of America, America’s second largest investment bank reported better than expected second earnings Tuesday. Three of the largest U.S. lenders, JPMorgan Chase (JPM), Citigroup (C) and Wells Fargo (WFC) reported last Friday. Bank of America reported a profit of 90 cents per share in the quarter, beating analysts’ average expectations of 82 cents per share, according to IBES data from LSEG. Net interest income rose 4% to $14.4 billion (FTE basis). BAC reported unrealized losses of $131.6 billion on … Continue reading “Bank of America Earnings Boosted by Trading as Debt Securities Portfolio Losses at $131.6 bln from $105.8 Billion”

Bank of America Earnings Boosted by Global Banking, Debt Securities Portfolio Losses at $105.8 Billion

Bank of America, America’s second largest investment bank reported better than expected second earnings Tuesday. Three of the largest U.S. lenders, JPMorgan Chase (JPM), Citigroup (C) and Wells Fargo (WFC) reported last Friday. Bank of America reported second-quarter EPS of $0.88, exceeding the average analyst estimate of $0.83, fell from $0.94 in Q1 2023 and rose from $0.73 in Q2 2022. Net interest income was $14.3B ((FTE basis)), vs. $14.3B consensus, compared with $14.6B in the prior quarter and $12.5B … Continue reading “Bank of America Earnings Boosted by Global Banking, Debt Securities Portfolio Losses at $105.8 Billion”

Big Banks Kick Off Second Quarter Earnings Season with Citigroup, JPMorgan, State Street and Wells Fargo

America’s big money center banks kick of second quarter earnings next week. Core commercial and consumer banking franchises are expected to show improved profitability. However, there is continued weakness in investment banking and concerns are rising over the banking sector’s exposure to commercial real estate, asset quality is being scrutinized in earnings. Signs of asset quality deterioration are a risk. JPMorgan Chase (JPM), Citigroup (C), BlackRock (BLK), State Street (SST) and Wells Fargo (WFC) reporting Q2 results on Friday July … Continue reading “Big Banks Kick Off Second Quarter Earnings Season with Citigroup, JPMorgan, State Street and Wells Fargo”

The Beat Goes On; America’s 23 Biggest Banks Pass Federal Reserve Stress Tests

The Federal Reserve on Wednesday announced the 23 largest US lenders had passed the Central Banks Stress Tests. The banks showed they can withstand a severe global recession and turmoil in real estate markets. The Fed released the hypothetical scenarios for its annual bank stress tests back in March before the New York and California regional bank turmoil. The 23 banks were tested against a severe global recession with heightened stress in both commercial and residential real estate markets, as … Continue reading “The Beat Goes On; America’s 23 Biggest Banks Pass Federal Reserve Stress Tests”

Bank of America Earnings Benefiting from Higher Interest Rates and Solid Loan Growth

Bank of America, America’s second largest investment bank reported better than expected first earnings Tuesday. Three of the largest U.S. lenders, JPMorgan Chase (JPM), Citigroup (C) and Wells Fargo (WFC) reported last Friday. Bank of America said its first-quarter net income increased by 15% to $8.2 billion, or 94 cents a share, from $7.1 billion beating the analyst forecast of 81 cents a share, according to estimates compiled by FactSet. Bank of America said its revenue increased 13% to $26.3 … Continue reading “Bank of America Earnings Benefiting from Higher Interest Rates and Solid Loan Growth”

Big Banks Kick Off First Quarter Earnings Season with Citigroup, JPMorgan, PNC and Wells Fargo

America’s big money center banks kick of first quarter earnings next week. There will be extra attention on them with the recent banking turmoil. Guidance will be keenly watched for from the money center banks. Concerns are rising over the banking sector’s exposure to commercial real estate. JPMorgan Chase (JPM), Citigroup (C), PNC Financial Services Group, Inc. (PNC) and Wells Fargo (WFC) reporting Q1 results on Friday. We got a preview from JPMorgan CEO Dimon saying that banking system is … Continue reading “Big Banks Kick Off First Quarter Earnings Season with Citigroup, JPMorgan, PNC and Wells Fargo”

Federal Reserve Hypotheticals For 2023 Bank Stress Tests have Unemployment at 10%

The Federal Reserve on Thursday released the hypothetical scenarios for its annual bank stress tests. This year, 23 banks will be tested against a severe global recession with heightened stress in both commercial and residential real estate markets, as well as in corporate debt markets. Last year the Fed found all 34 large banks tested remained well above their risk-based minimum capital requirements, and the Fed announced no restrictions relating to dividends and buybacks. These test results will be keenly … Continue reading “Federal Reserve Hypotheticals For 2023 Bank Stress Tests have Unemployment at 10%”

Bank of America Earnings Beat, Benefiting Most from the Federal Reserve’s Interest Rate Hikes

Bank of America, America’s second largest investment bank reported better than expected fourth earnings Friday. Three of the largest U.S. lenders, JPMorgan Chase (JPM), Citigroup (C) and Wells Fargo (WFC) also reported. Bank of America said revenue rose to $24.5 billion in the quarter, 11% higher from the year-ago quarter. Earnings of $7.1 billion, or 85 cents a share were slightly ahead of the $7 billion the bank earned last year. Net interest income climbed 29% to $14.7 billion for … Continue reading “Bank of America Earnings Beat, Benefiting Most from the Federal Reserve’s Interest Rate Hikes”

Big Banks Kick Off Fourth Quarter Earnings Season with Citigroup, JPMorgan, Bank of America and Wells Fargo

America’s big money center banks kick of fourth quarter earnings this week. FactSet expects the ‘Big 7’ to post $28 billion in fourth-quarter profits, which is down 15% from a year earlier. JPMorgan Chase (JPM), Citigroup (C) and Bank of America (BAC). and Wells Fargo (WFC) reporting Q4 results on Friday. Goldman Sachs (GS) and Morgan Stanley (MS) will report next Tuesday January 17 and PNC Financial Services Group, Inc. (PNC) and Charles Schwab Corp (SCHW) on January 18. Truist … Continue reading “Big Banks Kick Off Fourth Quarter Earnings Season with Citigroup, JPMorgan, Bank of America and Wells Fargo”