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Bank of America (BAC) delivered strong financial results for Q4 2025, exceeding analyst expectations. Net income rose to $7.6 billion from $6.80 billion a year ago, with EPS at 98 cents, surpassing the 96-cent consensus. Revenue grew 7% year-over-year to $28.532 billion, driven by a 10% increase in net interest income to $15.9 billion and higher deposit and loan balances. The Consumer Banking segment reported a net income of $3.30 billion, up from $2.82 billion, with debit and credit card spending increasing 6% to $255 billion and average deposits growing 3% to $2.01 trillion. Operational efficiency improved, as reflected in the efficiency ratio, which declined to 61.11% from 63.04% a year ago. For the full year, the bank achieved over $30 billion in net income, with a 19% EPS growth and a tangible book value per share increase to $28.73. Capital returns included $2.1 billion in dividends and $6.3 billion in stock repurchases during the quarter. CEO Brian Moynihan credited revenue growth, operating leverage, and efficiency improvements for the results and expressed optimism for 2026, projecting 5%-7% net interest income growth year-over-year. Analyst reactions were mixed, with some adjusting price targets, such as Barclays raising its target to $71, while others issued downgrades. Overall, the bank remains well-positioned for continued growth amid a resilient U.S. economy.
Source content provided by Benzinga.
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About BAC

Bank of America is one of the largest financial institutions in the United States, with more than $3.4 trillion in assets. It is organized into four major segments: consumer banking, global wealth and investment management, global banking, and ... Read more

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Bullish Option Strategy: Long Calls

Traders buy a single call option on a stock or ETF. This strategy can benefit from a price increase while risking more capital than a spread.

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