Bank of America Corporation (NYSE:BAC) shares have increased by 13% over the past year. Ahead of the company's earnings release, TD Cowen raised its price target for the stock to $66 from $64, maintaining a Buy rating. The firm stated it expected the banking sector to perform well in the upcoming earnings season.
HSBC took a bolder step, upgrading the stock rating to Buy from Hold and setting a $50 price target. HSBC commented that a pullback in the shares might present an opportunity.
Bank of America reported fourth-quarter revenue of $28.53 billion and earnings per share of $0.98. These figures exceeded analyst estimates of $27.94 billion in revenue and $0.96 per share. On the day of the report, the stock closed 3.8% higher.
Jim Cramer discussed the stock and questioned whether tensions between the President and the Federal Reserve regarding interest rates were a factor. Cramer said, "David, Bank of America, cause they need the rates higher. That may have been one that you, you know Brian Moynihan did a very good job as CEO, but rates higher is not what I think the President wants."