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Bank of America GF Value Rank

: 7 (As of Today)
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Bank of America has the GF Value Rank of 7.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.


Competitive Comparison

For the Banks - Diversified subindustry, Bank of America's GF Value Rank, along with its competitors' market caps and GF Value Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Bank of America GF Value Rank Distribution

For the Banks industry and Financial Services sector, Bank of America's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Bank of America's GF Value Rank falls into.



Bank of America GF Value Rank Related Terms

Thank you for viewing the detailed overview of Bank of America's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Bank of America Business Description

Bank of America logo
Address
100 North Tryon Street, Bank of America Corporate Center, Charlotte, NC, USA, 28255
Bank of America Corp is one of the largest financial institutions in the United States, with more than $2.5 trillion in assets. It is organized into four major segments: consumer banking, global wealth and investment management, global banking, and global markets. Bank of America's consumer-facing lines of business include its network of branches and deposit-gathering operations, home mortgage lending, vehicle lending, credit and debit cards, and small-business services. The company's Merrill Lynch operations provide brokerage and wealth-management services, as does U.S. Trust private bank. Wholesale lines of business include investment banking, corporate and commercial real estate lending, and capital markets operations. Bank of America has operations in several countries.
Executives
Thompson Bruce R. officer: Vice Chair, Head Ent Credit 100 NORTH TRYON STREET CHARLOTTE NC 28255
Borthwick Alastair M officer: Pres, Global Com Banking 100 NORTH TRYON STREET CHARLOTTE NC 28255
Bhasin Aditya officer: Chief Tech & Info Officer 100 NORTH TRYON STREET CHARLOTTE NC 28255
Mogensen Lauren A officer: Global Compl & Op Risk Exec 100 NORTH TRYON STREET CHARLOTTE NC 28255
Koder Matthew M officer: Pres, Gl Corp & Invest Banking 100 NORTH TRYON STREET CHARLOTTE NC 28255
Scrivener Thomas M officer: Chief Operations Executive 100 NORTH TRYON STREET CHARLOTTE NC 28255
Mensah Bernard A officer: President, International 100 NORTH TRYON STREET CHARLOTTE NC 28255
Demare James P officer: President, Global Markets 100 NORTH TRYON STREET CHARLOTTE NC 28255
Boland Darrin Steve officer: Chief Administrative Officer 100 NORTH TRYON STREET CHARLOTTE NC 28255
Buffett Warren E 10 percent owner 3555 FARNAM ST STE 1440 OMAHA NE 68131
Berkshire Hathaway Inc 10 percent owner 3555 FARNAM STREET OMAHA NE 68131
Ramos Denise L director 870 WINTER STREET WALTHAM MA 02451
Bronstein Sheri B. officer: Chief Human Resources Officer 100 N TRYON STREET CHARLOTTE NC 28255
Knox Kathleen A. officer: President, U.S. Trust 100 N TRYON STREET CHARLOTTE NC 28255
Sieg Andrew M. officer: Pres, Merill Lynch Wlth Mgmt 100 N TRYON STREET CHARLOTTE NC 28255

Bank of America Headlines

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