Bank of America’s Stock Price (NYSE: BAC) Dips Into Earnings – What To Expect

Bank of America Corporation (NYSE:BAC) is poised to unveil its second-quarter 2025 earnings before tomorrow's open, with the stock down 1% on the day.

Analysts are projecting a generally positive outlook for Bank of America's Q2 2025 results. Consensus estimates point to revenues of approximately $26.77 billion, a 5.5% increase compared to the same period last year. Earnings per share (EPS) are anticipated to reach around $0.87, up from $0.83 in Q2 2024.

These projections are fueled by expectations of a boost in net interest income (NII) driven by lower deposit costs and a strategic shift towards higher-yielding assets.

With banking peers not exactly setting the world alight in their own reports today to kick off earnings season, there are concerns leading into BofA's report that seemingly weren't there yesterday.

The bank's recent performance in Q1 2025, where it reported an 11% increase in profit to $7.4 billion ($0.90 per share) on revenue of $27.51 billion may help support an optimistic view. Strong trading revenues and a healthy NII contributed significantly to the first quarter's success, setting a high bar for the upcoming report.

However, not all sectors within Bank of America are expected to contribute equally to this growth. The investment banking division is projected to face headwinds, with revenue declines potentially reaching up to 25%. This anticipated slump is attributed to a slowdown in dealmaking activity, largely due to policy uncertainties related to tariffs and broader global economic concerns. The volatile geopolitical climate has dampened corporate appetite for mergers and acquisitions, impacting the fees that investment banks typically generate.

A review of Bank of America's historical stock performance reveals a 52-week range between $33.07 and $49.31. The current price of $46.73 sits comfortably above both the 50-day simple moving average (SMA) of $44.11 and the 200-day SMA of $43.04.

The management's commentary on the outlook for the remainder of 2025 will be carefully scrutinized for insights into the bank's strategic priorities and its ability to adapt to the evolving economic and regulatory environment.