A Simply Wall St. analysis examined Bank of America's valuation on January 22, 2026. The bank recently approved cash dividends on preferred stock. BAC stock declined 6.82% over the past 30 days. However, its five-year total shareholder return is 96.96%.
The analysis suggests Bank of America may be undervalued. The current Price-to-Earnings (P/E) ratio stands at 12.9x. This is below the estimated fair P/E of 16.7x.
A Discounted Cash Flow (DCF) model estimates the stock's value at $62.19. This figure is 16.3% above the recent trading price. BAC recently traded at $52.07.