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- 1. How to buy Bank of America (BAC) stock
- 2. Where to buy Bank of America stock?
- 3. How to buy stock in Bank of America in 3 simple steps
- 4. Compare the best platforms to buy Bank of America stock
- 5. Fundamental analysis of Bank of America shares
- 6. Is Bank of America a good investment for me?
- 7. How to sell Bank of America stock
- 8. Should I buy Bank of America stock now?
- 9. FAQs
How to buy Bank of America (BAC) stock
Get started in minutes with our preferred broker,. 9/10
82% of retail CFD accounts lose money.
A big part of learning how to buy Bank of America stocks is finding the best place to make your investment. Bank of America stocks are available to invest in through an online stock broker, and it usually takes just a few minutes to buy shares in Bank of America when following our step by step guide.
Where to buy Bank of America stock?Copy link to section
Based on our research, we’ve ranked the top three brokers where you can buy Bank of America shares, according to how easy they are to use, how low their fees are, their safety and security rating, and average customer reviews.
77% of retail CFD accounts lose money.
Read more about how we test, rank & review platforms.
How to buy stock in Bank of America in 3 simple stepsCopy link to section
Buying Bank of America stock is quick and easy, all you need is an internet connection and a copy of your photo ID. Here’s how to do it.
Step 1. Sign up to eToroCopy link to section
eToro is the best stock trading platform for beginners. Fill in your details to set up a brokerage account and attach a copy of your ID to verify it.
77% of retail CFD accounts lose money.
Step 2. Make a depositCopy link to section
Transfer money to your new account with your credit or debit card, a bank transfer, or an alternative payment method, like PayPal. The minimum deposit is £10.
Step 3. Buy Bank of America sharesCopy link to section
Search for Bank of America using the ticker, BAC. Click the ‘trade’ button and enter the details of your investment, such as how many shares you want to buy or how much you want to spend. Hit ‘trade now’ to invest in Bank of America and complete your purchase.
It’s as easy as that! You can buy Bank of America shares in just 10-15 minutes and now you’re a Bank of America shareholder.
Compare the best platforms to buy Bank of America stockCopy link to section
1. eToro. Best for beginners, copy-trading & demo-account
Pros & Cons
We love eToro because you can trade more than 3,000 stocks, commission free. When you buy stocks on eToro, you’re buying the underlying asset, which means you can earn dividends. Or you can trade fractional shares, which means you can invest in even the most expensive stock from just $10.
As well as being a broker that offers lots of investor protection, eToro offers a very social trading experience. You can easily see what’s trending on the stock market every day, browse the latest analyst opinion about every one of those stocks, and copy other people’s trade suggestions from your desktop or the eToro app.
The fees: Stock and ETF trades are commission free. Stock CFDs are charged a 0.15% spread and overnight fees can apply. You can deposit money for free but you have to pay $5 per withdrawal, and there’s a minimum withdrawal of $30. A $10 per month activity fee is charged if you don’t log in for a year.
77% of retail CFD accounts lose money.
Fundamental analysis of Bank of America sharesCopy link to section
What is Bank of America’s total worth?Copy link to section
Bank of America’s total net worth is $273.41 billion. This is its total market capitalisation, calculated by multiplying the number of shares outstanding on a stock exchange by the current share price.
How has Bank of America’s share price performed in recent years?Copy link to section
The current Bank of America stock price today is $34.16, which is 37.72% below its all time high of $54.85, which it reached on 17 November 2006.
Overall, BAC is up 4.40% over the last five years. The BAC share price is up 1.94% in 2023 with a 52 week high of $44.63 and a 52 week low of $29.31.
What is Bank of America’s EPS?Copy link to section
Bank of America’s EPS is $0.85. EPS stands for earnings per share and is calculated by dividing Bank of America’s net profit by the number of shares outstanding. It gives you an idea of how valuable a company is.
What is the Bank of America P/E ratio?Copy link to section
Bank of America’s P/E ratio is 10.72. The P/E, or price to earnings ratio, tells you how much you would have to pay per share for $1 of Bank of America’s earnings.
It is calculated by dividing the share price by the earnings per share. You can use Bank of America’s earnings estimates to predict its future (or forward) P/E and set a target price you think the stock can reach.
What is Bank of America’s dividend yield?Copy link to section
Bank of America’s dividend yield is 2.58%. The dividend yield tells you how much of Bank of America’s share price it gives back to shareholders in dividend payments every year.
Is Bank of America stock a buy or sell?Copy link to section
The indicator below shows you live technical ratings for Bank of America stock on time frames from one minute to one month.
It tracks a selection of key technical indicators on live market data, including moving averages, relative strength index (RSI), oscillators, and momentum.
This indicator should be used when you research Bank of America to help you decide whether to buy Bank of America shares. Past performance is no guarantee of future results. It is not investment advice or a recommendation from Invezz to buy this stock.
Is Bank of America a good investment for me?Copy link to section
The right answer is different for each person, so here is some information to help you decide whether to buy stocks in Bank of America.
- Bank of America is one of the oldest banks in the United States. The bank has been around in some form since 1904. It’s one of the Big Four banks, along with JP Morgan Chase, Citigroup, and Wells Fargo, and it’s second only to JP Morgan Chase in terms of size.
- The bank has strong financials and a diverse range of products. Large banking institutions are forced to maintain large capital reserves and to limit risk. That offers downside protection, while a range of mortgage, personal and business loans, and investments mean that there are plenty of ways for Bank of America to make money in any economic climate.
- High interest rates make for larger margins on loans. The Federal Reserve has been raising interest rates to combat high inflation, which means that banks raise their own rates on loans. Higher rates allow for a larger gap between the interest they charge on loans and the interest they pay on deposits, which is one way Bank of America makes money. Obviously, this works both ways: if rates reduce, the profitability may be impacted.
- There’s the potential for dividend growth. Bank of America regularly pays out a dividend, and is likely to increase it if the underlying financial position continues to improve. Financial or banking stocks are often good, stable prospects for dividend investors.
- The financial sector can add diversity to your portfolio. Large investment bank stocks offer lower prospects for growth but fewer prospects of large losses than companies in growth industries like tech. Including some financial stocks and earning dividends from them can help sustain your portfolio in tricky economic times.
- Bank of America is just one of many Wall Street banks. The rest of the Big Four, along with other major financial institutions, like Goldman Sachs, are locked in intense competition for customers. That competition can cut margins and impact profitability over the long term.
- The financial sector is heavily regulated. There is no chance of Bank of America ever coming to dominate the sector or generating large profits through risky speculation. There’s also the chance that banks could experience further regulation which cuts into their profit margins.
It’s always a good idea to think about any potential risks there might be as well. Use this summary of Bank of America’s pros and cons before you make a final decision on whether to buy Bank of America stock.
ProsCopy link to section
- A well-established bank with reliable revenue streams
- Higher interest rates mean higher margins
- A healthy dividend yield and the potential for growth
Are there other ways to buy shares in Bank of America?Copy link to section
Yes, you can invest in Bank of America stock in a few different ways. One option is to buy stock in Bank of America directly through an investment platform as laid out above, while another popular choice is to invest in a fund.
Mutual funds provide instant diversification to your investment portfolio by investing in lots of companies at once. You can invest in an NYSE Index fund to get exposure to Bank of America, or choose a financial ETF.
This can be a good investment strategy for beginners and a way to learn how to buy Bank of America shares from someone with more experience.
What are the fees for investing in Bank of America stock?Copy link to section
It depends on the stock broker. Some platforms charge a flat fee per trade, others charge a commission as a percentage of the total trade value each time you buy Bank of America stocks.
Consider that there may be other costs to trading too. Other fees can include deposit and withdrawal fees, or inactivity fees if you don’t use your account for three months or more.
These are the trading platforms that charge the lowest fees for buying stocks in Bank of America.
|Trading platform||Trading fees|
|Degiro||$0 (US) / £1.75 (UK)|
How to sell Bank of America stockCopy link to section
When you decide the time is right to sell and lock in some profit (or cut your losses), log into your broker account and navigate to your portfolio.
From there, find your Bank of America stock and you’ll see a ‘sell’ option next to it. Click that to set the details of the trade (you don’t have to sell all your stocks at once) and sell back to cash.
Should I buy Bank of America stock now?Copy link to section
It’s your investing goals and style that define whether now is a good time to buy. The current Bank of America stock price plays into it but ultimately it depends on your investment horizons.
- If you’re a short term trader: the goal is to make money by buying and selling stocks regularly to secure a profit or avoid a loss. That can mean trading hourly, daily, or weekly but the focus is always on the near future. Traders learn how to buy stocks in Bank of America based on short term technical analysis and don’t hold shares for a long time, so any time can be a good time to buy BAC.
- If you’re a long term investor: you’re more interested in long term price appreciation than whether a stock is up or down on any given day. The important thing is finding a stock with a strong foundation where you think the share price will be up over a period of months or years. If you think Bank of America’s fundamentals are solid then the best time to invest in Bank of America stock is after a dip or a pullback in price.
Most new traders sit somewhere between these two positions. You don’t want to actively trade Bank of America stock all hours of the day but you don’t want to wait years for a return either.
Either way, following BAC price news and analysis will help you decide when to dip your toe into the market.
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FAQsCopy link to section
There is no perfect way to value a stock. You can use financial metrics like the P/E ratio to compare share prices among Bank of America and its competitors, where a higher ratio indicates that a stock is more expensive. But lots of different factors play into Bank of America’s share price and the ‘right’ valuation is often a matter of opinion.
It depends on where you live but you do normally have to pay capital gains tax any time you make money from investing in Bank of America.
Capital gains tax is often charged at 10-15% of your profit but there are ways to limit the amount you have to pay, by using tax-friendly stock market investment vehicles and writing off losses.
Speak to an accountant or a tax professional and check the tax laws where you live to find out more.
Bank of America’s ticker symbol is NYSE:BAC. A ticker symbol, or stock code, is a publicly traded company’s unique identifier so that you can find them on stock exchanges.
Yes, Bank of America pays a cash dividend. Dividend payments are made on a per share basis, so the more shares you own the more you receive in dividends.
Cash dividends are normally paid directly into your trading account and some brokerage services allow you to reinvest dividends automatically.
Bank of America is a medium-risk ESG stock, according to SustainAnalytics. The bank ranks in the middle of all banking stocks, but above competitors like JP Morgan Chase and Wells Fargo.
Invezz is a place where people can find reliable, unbiased information about finance, trading, and investing – but we do not offer financial advice and users should always carry out their own research. The assets covered on this website, including stocks, cryptocurrencies, and commodities can be highly volatile and new investors often lose money. Success in the financial markets is not guaranteed, and users should never invest more than they can afford to lose. You should consider your own personal circumstances and take the time to explore all your options before making any investment. Read our risk disclaimer >