Bank of America (BAC) Stock Forecast for 2024, 2025, 2026–2030 and Beyond | LiteFinance (2024)

The Bank of America Corporation (BAC) emerges as a critical player in the fluctuating stock market landscape. Its stock performance mirrors its financial robustness and market standing, presenting an intriguing subject for forecasts and analyses.

This article will delve into the forecast for Bank of America's stock, examining the various elements that shape its future. We will explore analyst recommendations, price targets, and market sentiments to provide investors with a comprehensive understanding of BAC's potential in the upcoming period.

Highlights and Key Points: Bac Stock Forecast 2024-2030

• Current BAC Stock Price: today, 17.09.2024, the BAC stock price is $39.13.
• 2024 Predictions (as for May15, 2024):
  • CoinPriceForecast expects a slight upside by the end of the year within the range of $39.50–$42.2.
  • WalletInvestor offers a mixed outlook with low volatility in the range of $36.873 – $38.879.
  • CoinCodex projects a decline to $32.19 and a recovery to the current levels.
• Long-Term Forecast for 2025-2030 (as for February 20, 2024):
  • In 2025, CoinPriceForecast suggests the closing price to stand at $54.13.
  • In 2026–2030, analysts anticipate steady growth, with the stock appreciating significantly to approximately $89 by 2030.
• Market consensus: several forecasts point to an increase in BAC's share price beyond 2024. Much will depend on financial performance, market stability, and industry trends. In general, buying and holding the stock for an extended period can be profitable for investors.

BAC Stock Price Today Coming Days and Week

To forecast Bank of America's stock price effectively, closely monitor Federal Reserve policies and interest rate changes, as these are pivotal for banking profitability. Additionally, analyze Bank of America's quarterly financial reports to understand its financial health. Keep an eye on broader market trends within the financial sector and any regulatory updates that could affect banking operations.

Scrutinize Bank of America's quarterly financial reports to gauge its current level of financial health. Employ technical analysis like Moving Averages and RSI to evaluate market sentiment and potential price movements. These steps will provide a comprehensive outlook on the stock's short-term trajectory.

Analysts’ BAC Stock Projections for 2024

Let's take a look at expert forecasts for the BAC rate in 2024.

CoinPriceForecast

Price Range for 2024: $39.50–$44.17 (as for May 15, 2024).

Coin Price Forecast’s 2024 prediction for Bank of America (BAC) stock suggests modest growth from $39.5 to $44.2 over the year. This forecast, indicating a 15% increase, leans on the Fed keeping its key rate at a high level for an extended period and growth potential in the banking sector.

WalletInvestor

Price Range for 2024: $36.873 – $38.879 (as for May 15, 2024)

WalletInvestor predicts weaker growth in 2024. The low is expected in July in the area of $36.87. The BAC price is projected to peak at $38.87 in December. This forecast stems from uncertainty over US monetary policy.

CoinCodex

Price Range for 2024: $32.19 – $38.33 (as for May 15, 2024).

CoinCodex expects the price of #BAC to slide this spring-summer, hitting a bottom at $32.19. After that, the price will reach $38.33 within a long-term uptrend by the end of the year. In other words, if you buy the stock at the current price of $39.13, it will not bring you profits until the year-end.

BAC Stock Technical Analysis

Let's analyze the daily chart of Bank of America stock to understand its price movements.

The chart shows a long-term uptrend. The moving averages – EMA21 (red) and EMA190 (black) – are moving upwards. After breaking through the red moving average in mid-April, the price recovered and reached above the April 1 high. In this connection, BAC may continue to grow in the medium and long term.

Let's add the Bulls Power and RSI indicators to the chart. The Bulls Power indicator, reflecting the strength of bulls in the market, is in the green zone, indicating the strength of buyers. The RSI is at 56.03, i.e., in the neutral zone. This allows us to consider both long and short trades. In general, the technical analysis does not rule out stock appreciation.

#BAC Stock Forecast For Next Three Months

To forecast the #BAC stock price for three months, let's plot the Ichimoku indicator to the daily chart. These tools will allow us to identify the trend and mark strong support and resistance levels.

The first thing to note is that the indicator shows a green cloud, pointing to a long-term uptrend. The Kijun line is horizontal, indicating no medium-term trend. The Tenkan line turns upward after a slight drop, implying a short-term uptrend.

The price moves above all lines of the Ichimoku indicator while the cloud is green. Therefore, the most likely scenario for the next three months is that the price will continue to rise.

The support level is at 34.37. On April 16, the price corrected to this level and continued to increase. The resistance level of 38.43 was reached at the end of April 2024. This level corresponds to the November 2022 high, offering a key resistance. If the price breaches this level, the next bullish target for three months will be 40.23.

The Tenkan and Kijun lines, as well as the green Ichimoku cloud, can be used to consider new purchases of the instrument. However, the resistance will be the main buying target until the price settles above 38.43.

Long-Term Bank of America Shares Technical Analysis for 2024

To make a long-term forecast for Bank of America stock, it is necessary to analyze the Fed's stance on monetary policy, as the banking sector is highly sensitive to interest rate changes.

Recently, Fed officials have predicted three rate cuts in 2024. However, rate-cut expectations have started to wane due to the robust labor market and stubborn inflation in the US. The markets are now pricing in just one cut in 2024, which will occur no earlier than September. Meanwhile, keeping rates at high levels harms the banking sector.

Let's do a technical analysis of #BAC on the weekly chart using the Ichimoku indicator.

The chart shows that in December 2023, the price breached the red Ichimoku cloud from below. Notably, the cloud’s color pointed to a downward trend. After that, the price hit a new high of 38.43. In addition, the green cloud began to shape. Therefore, if we assume that the impulse from October 22 marked the beginning of a new trend, then the trend will continue, and the price will likely reach a new high above 38.43. The Tenkan and Kijun lines move upward, confirming the bulls' strength.

Let's add Fibonacci levels to the chart to determine suitable entry points into long trades.

If the price corrects downward, the Fibonacci levels of 23.6, 38.2, and 50.0 will be favorable for opening long trades. These levels correspond to 35.28, 33.29, and 31.78 price levels. Consequently, long trades from these levels can be considered with the target of 38.43. If the 38.43 level is broken through, the next bullish target will be 40.23. If the price pierces the 40.23 level, it may soar to the next target of 44.17. Considering the Fed's stance, the price is unlikely to rise above 44.17 in 2024.

Long-Term Trading Plan for Bank of America Corporation (#BAC)

Bank of America stock purchases should be treated with caution, given the slowdown in the pace of interest rate cuts by the US Federal Reserve in 2024. High volatility is possible in the fall during the US presidential election.

• BAC stock returned to a long-term uptrend earlier this year. The daily chart also suggests further upbeat dynamics as the price trades above the moving averages EMA21 and EMA190. The Ichimoku cloud is green.
• Therefore, the price may rise after a correction in the next three months. If the correction unfolds, consider buying BAC from 36.60 to 36.30. If the price pierces these levels, the Ichimoku cloud on the daily chart will offer entry points into long trades.
• The bullish target is the resistance level of 38.43. If the price consolidates above this level, growth will likely continue to 40.23.
• The forecast for 2024 also points to an uptrend. On the weekly chart, the green Ichimoku cloud has formed to the right of the current price, indicating a potential upward trend.
• Considering strong Fibonacci retracement levels, long-term buying may be opened at 35.28, 33.29, and 31.78. The growth targets are near the April 2024 high of 38.43 and the 40.23 level. The highest possible target is in the area of the March 2022 high of 44.17.

BAC Stock Forecast for 2025

Let's take a look at expert forecasts for the BAC rate in 2025.

CoinPriceForecast

Price Range for 2025: $40.69–$54.13 (as for May 15, 2024)

In 2025, CoinPriceForecast analysts predict BAC stock to open at $40.69, rising to $47.87 by mid-year and close at $54.13 in December. The forecast suggests that the stock will surge strongly, maintaining an uptrend and showing a 41% increase.

WalletInvestor

Price Range for 2025: $36.696 – $39.062 (as for May 15, 2024).

According to WalletInvestor, BAC stock is expected to show a slight decrease throughout 2025 within the range of $37 – $39. Notably, the US presidential election and changes in the Fed's monetary policy may significantly affect this forecast.

CoinCodex

Price Range for 2025: $38.01 – $42.29 (as for May 15, 2024).

CoinCodex experts believe that the BAC price will strengthen in 2025. The stock will open near $38 and close around $43, adding 9.86% and maintaining a moderate uptrend without sharp price fluctuations.

BAC Stock Forecast for 2026

Let's take a look at expert forecasts for the BAC rate in 2026.

CoinPriceForecast

Price Range for 2026: $51.22–$62.40 (as for May 15, 2024).

According to CoinPriceForecast, Bank of America stock is likely to increase. The general trend will be upward, showcasing moderate volatility. The price is expected to hover around $51 at the beginning of the year and soar to $62 by the end of the year.

WalletInvestor

Price Range for 2026: $36.51 – $38.88 (as for May 15, 2024)

WalletInvestor suggests #BAC to trade in a narrow trading channel between $34 and $37. Starting at 37.25 in January, the quotes will decline and reach a low of 34.98 in July. After that, the price will likely increase, closing the year in the area of 36.92. The stock may see a maximum monthly decline of 3.14%, while the maximum growth is expected to be 3.25%.

CoinCodex

Price Range for 2026: $50.83 – $74.63(as for February 20, 2024)

CoinCodex analysts do not expect rapid growth for #BAC stock. However, moderate year-over-year growth of 9.86% is expected, representing a 21% increase from current prices. Meanwhile, major geopolitical events could affect the forecast. Considering current factors and the company's condition, a long-term investment can yield solid returns.

Long-Term BAC Stock Forecast for 2027-2030

Coin PriceForecast Center projects a positive trajectory for Bank of America's stock (BAC) between 2027 and 2030.

Recent Price History of the Bank of America Stock

The historical journey of Bank of America Corporation (BAC) stock has been marked by significant volatility and resilience. In 1987, the stock was trading at around $2.36 but experienced a decline to $1.74 by the end of the year, marking a 19.76% decrease. The following year, however, saw a remarkable recovery with a 57.96% increase, reaching $2.75. This upward trend continued through the 1990s, with notable peaks in 1999 ($19.88) and a drop to $13.43 by year-end.

The early 2000s brought further growth, peaking at $38.99 in 2007. However, the 2008 financial crisis caused a dramatic plunge, with the stock falling to $11.41 by year-end, a 63.14% decrease. The following years were a period of recovery and fluctuations, with a significant growth of 109.83% in 2012, reaching $9.57.

The stock continued to experience ups and downs over the next decade. Notably, in 2016 and 2017, it saw substantial growth, reaching $25.66 by the end of 2017. However, 2018 marked a downturn, ending the year at $21.82. The stock peaked in 2021 at $45.62, demonstrating a remarkable recovery and growth from the previous lows. However, 2022 was challenging, with the stock price declining by 23.81%, closing at $32.12, a reflection of the economic uncertainties and market conditions of the time.

Which Factors Impact BAC Stock Price?

• Asset-Sensitive Balance Sheet: The Federal Reserve's rate hikes have influenced BAC's net interest income (NII), impacting the stock price.
• Net Interest Income (NII) Trends: The rise in NII due to higher interest rates and robust loan growth has been a critical factor.
• Valuation Attractiveness: BAC's current valuation, with a lower price/tangible book value ratio than the market average, makes it an attractive investment, potentially impacting its stock price.
• Fundamental Growth Drivers: BAC's initiatives, like expanding financial centers and improving digital offerings, are real drivers that could positively influence the stock.
• Loan Portfolio Strength: Despite a challenging environment, BAC's solid deposit and loan balances showcase financial robustness, a positive sign for the stock.
• Capital Deployment Strategies: BAC's dividend increases and share repurchase plans reflect a strong capital position, which can enhance shareholder value and affect the stock price.
• Investor Sentiment: The overall investor stance towards the banking sector, influenced by various macroeconomic factors, plays a significant role in shaping BAC's stock price.

Conclusion: Is It Worth Investing in BAC?

Based on its current forecast, Bank of America Corporation (BAC) stock is a solid investment for 2024 and beyond. Analysts predict a stable increase in BAC's stock price, underpinned by the company's solid financials and consistent dividend history.

However, it's crucial to acknowledge the risks associated with the volatile banking industry. While BAC's strategies in digital expansion and market penetration are promising, regulatory changes and economic fluctuations could impact its stock performance.

Price chart of BAC in real time mode

The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteFinance. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.