Jim Cramer commented on Bank of America Corporation (NYSE: BAC) following its recent earnings report. He described the market's reaction to the stock as "extreme."
Cramer stated that Bank of America looked fantastic. The company posted a small beat on both top and bottom lines, with 7% revenue growth and 18% earnings per share growth. He called these figures astounding.
Net interest income rose 10%, also slightly better than expected. Despite this, the stock sold off 4% on the day of the report. Cramer said he thinks that is extreme and warned not to let it mislead investors.
He noted Bank of America reported a solid quarter. All four of its business lines beat revenue expectations. Global wealth and investment management and global markets both showed over 10% year-over-year growth. Cramer said he is not used to seeing that.
The company also sounded confident about 2026, guiding for 5 to 7% net interest income growth this year. CEO Brian Moynihan said, 'While any number of risks continue, we are bullish on the U.S. economy in 2026.'
Cramer added it is tough to poke holes in this Bank of America quarter. The company got a boost from lower than expected credit charges, which helped drive the slightly better than expected earnings beat. Like JPMorgan, their debt and equity underwriting was light, which he found disappointing.
But overall, Cramer thinks it was a really fine quarter for Bank of America, maybe the best. He believes the stock only got hit because Wall Street paints with a broad brush. He called the decline pure guilt by association and pronounced the stock innocent.