Bank of America tops estimates on better-than-expected investment banking


Bank of America on Tuesday said second-quarter revenue and profit topped expectations on rising investment banking and asset management fees.

Here’s what the company reported:

Earnings: 83 cents a share vs. 80 cents a share LSEG estimate

Revenue: $25.54 billion vs. $25.22 billion estimate

The bank said profit slipped 6.9% from the year earlier period to $6.9 billion, or 83 cents a share. Revenue climbed less than 1% to $25.54 billion.

How is Bank of America navigating the interest rate environment?

That’s a key question after CEO Brian Moynihan told investors in April that net interest income would bottom in the second quarter.

The measure, known as NII, is the difference between what the bank earns on loans and what it pays depositors for their savings. It’s one of the main ways that banks earn money.

Wells Fargo shares fell on Friday when it posted disappointing NII figures, showing how much investors are fixated on the metric.

Source: https://www.cnbc.com/2024/07/16/bank-of-america-bac-earnings-q2-2024.html


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