Here’s How Much Investing $100 In Bank Of America Stock Back In 2010 Would Be Worth Today – Benzinga

Here’s How Much Investing $100 In Bank Of America Stock Back In 2010 Would Be Worth Today – Benzinga

https://ift.tt/30tcyVp

Investors who owned stocks in the 2010s generally experienced some big gains. In fact, the SPDR S&P 500 (NYSE: SPY) total return for the decade was 250.5%. But there’s no question some big-name stocks didn’t keep pace along the way.

Bank of America’s Difficult Decade

One market laggard of the past decade was big bank Bank of America Corp (NYSE: BAC).

Bank of America and other U.S. banks were hit hard during the financial crisis in 2008 and 2009. Among the big banks that survived the crisis, Bank of America was one of the hardest hit. At one point in 2009, Bank of America’s share price dropped as low as $2.53 on fears it might not survive the crisis.

Bank of America started the 2010s trading at $15.69 after announcing in December 2009 it would repay all of the $45 million in bailout money it received from the U.S. government. From 2011 to 2014, Bank of America underwent a downsizing program intended to improve its balance sheet and streamline its operations as it transitioned more to mobile banking. Bank of America shares hit their low point of the 2010s during the Eurozone debt crisis in 2011, dropping as low as $5.13.

By late 2012, Bank of America shares were back above $10, but they wouldn’t breach the $20 level until late 2016. Bank of America hit the $30 level for the first time since the crisis in late 2017, rallying as high as $33.05 in early 2018 before pulling back to $22.66 in early 2019.

bac_tradingview.png

Chart courtesy of TradingView.

See Also: Here’s How Much Investing $100 In JPMorgan Stock Back In 2010 Would Be Worth Today

Bank of America In 2020 And Beyond

Bank of America shares spent most of 2019 trading in a range between $26 and $31 before finally breaking out and hitting their decade high of $35.72 in December. Despite the 10-year rally, Bank of America shares are still nowhere close to their pre-crisis 2006 highs of around $55.

Despite the bumpy road, Bank of America investors that held on through a volatile decade turned a significant profit, and $100 worth of Bank of America stock bought in 2010 would be worth about $237 today, assuming reinvested dividends.

Looking ahead, analysts expect additional upside for Bank of America in 2020. The average price target among the 24 analysts covering the stock is $37.50, suggesting 7.4% upside from current levels.

Those gains could start as soon as Wednesday when Bank of America reports fourth-quarter earnings before the market open.

Photo credit: Mike Mozart, Flickr

NEWS

via Top stories – Google News https://ift.tt/2Jjuiww

January 15, 2020 at 04:04PM

What do you think about this?

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s