Market Overview

UPDATE: Credit Suisse Downgrades Bank of America to Neutral on Valuation

Share:
Related BAC
Hedging Market Selloffs With ETFs
Are The Big Four American Banks Still 'Too Big To Fail'?
Is It Time For Investors To Forgive Banks? S&P 500 2015: Part 4A (Seeking Alpha)

Credit Suisse downgraded Bank of America (NYSE: BAC) from Outperform to Neutral and raised the price target from $11.00 to $12.00.

Credit Suisse noted, ". Current valuation appears to be ahead of the company's near to intermediate-term performance and appears to be discounting significantly faster improvements in efficiency than we would be expecting. At its current valuation, the shares appear to be discounting at least a 16% improvement in costs over the next year vs. our estimate of 10%. Despite the announced mortgage servicing sales, we think it will take until 2014 before the full run-rate of expense saves. Separately, we think it will be hard for Bank of America to grow revenues faster than the "average" bank."

Bank of America closed at $11.98 on Tuesday.

Latest Ratings for BAC

DateFirmActionFromTo
Jan 2015JefferiesMaintainsBuy
Jan 2015Credit SuisseInitiates Coverage onOverweight
Jan 2015BarclaysMaintainsEqual-weight

View More Analyst Ratings for BAC
View the Latest Analyst Ratings

Posted-In: Credit SuisseAnalyst Color Downgrades Intraday Update Analyst Ratings

 

Related Articles (BAC)

Around the Web, We're Loving...

Get Benzinga's Newsletters