Bank of America Corporation · BAC-PE · FY2026 Q1 · Calendar Q2 2026

Bank of America raises NII outlook as Q1 growth strengthens

The quarter supports a constructive operating picture: resilient client activity, loan and deposit growth, fee businesses, and technology investment improved earnings power, while the raised NII outlook strengthens the near-term trajectory. The main test is whether operating leverage, ROTCE, funding costs, and trading momentum remain durable as rates, regulation, and credit conditions evolve.

Reported Session unavailableNYSEFinancial Services $310.49B market cap
75quality score

Earnings scorecard

Reported versus consensus
Reported EPS $1.11 Consensus $1.01
EPS surprise +9.9% Reported versus consensus
Reported revenue $30.27B Consensus $29.95B
Revenue surprise +1.1% Reported versus consensus

Market reaction

unavailable
Stock move — Event window
SPY move — Same window
Abnormal move — Stock minus SPY
Volume — Versus trailing sessions
Subsequent drift — Up to 20 sessions
Price and volume data were unavailable at publication time.

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Transcript intelligence

What changed

Management reported stronger Q1 operating performance and raised full-year NII growth guidance to 6–8%. The quarter also showed improved operating leverage, deposits above $2 trillion, nearly 9% loan growth, and continued technology investment; the supplied record does not include a prior-quarter analysis for a direct comparison.

Guidance delta

Management raised full-year net interest income growth guidance to 6–8% and targeted 200–300 basis points of operating leverage for the year.

Key takeaways

  • Revenue increased 7% year over year to $30.3 billion and EPS rose 25% to $1.11.
  • Net interest income increased 9% to $15.9 billion; deposits exceeded $2 trillion and loans grew nearly 9%.
  • Operating leverage improved 290 basis points, the efficiency ratio fell to 61%, and ROTCE reached 16%.
  • Capital remained robust, with more than $200 billion of CET1, a $2 billion dividend payout, and $7.2 billion of share repurchases in the quarter.

Management priorities

  • Grow commercial and consumer relationships through selective hiring and deeper digital engagement.
  • Deploy AI and technology, including Erica and AI-enhanced workflows, to improve efficiency and client service.
  • Balance revenue-producing investment and disciplined expenses with capital returns while monitoring capital ratios.

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Earnings History

Estimate Beat Miss Match
BAC-PE REVENUE earnings history estimate and actual scatter chart 9 reported fiscal quarters and 4 future estimate-only quarters. Q4 '23 actual $45B, None Q1 '24 actual $48B, None Q2 '24 actual $50B, None Q2 '25 estimate $28B Q2 '25 actual $47B, beat Q3 '25 estimate $28B Q3 '25 actual $13B, miss Q4 '25 estimate $28B Q4 '25 actual $28B, beat Q1 '26 estimate $30B Q1 '26 actual $30B, beat Q2 '26 estimate $31B Q2 '26 actual $32B, beat Q3 '26 estimate $31B Q3 '26 actual $30B, miss Q4 '26 estimate $31B Q1 '27 estimate $33B Q2 '27 estimate $33B Q3 '27 estimate $33B
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Analyst Consensus ?

ConsensusHold39 ratings
Bullish1948.7%
Neutral1846.2%
Bearish25.1%

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
Oppenheimer Outperform OutperformMaintainOct 17, 2023
BMO Capital Market Perform Market PerformMaintainOct 17, 2023
Morgan Stanley Equal Weight Equal WeightMaintainOct 2, 2023
Piper Sandler Underweight UnderweightMaintainSep 14, 2023
RBC Capital Outperform OutperformMaintainSep 11, 2023
Show 34 more rating actions

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Company context

Snapshot as of publication

Bank of America, operating globally through its various divisions, offers a broad spectrum of financial and banking solutions to a diverse client base, including individuals, small to mid-sized companies, major corporations, institutional investors, and government entities. The Consumer Banking division caters to individual clients by providing a comprehensive suite of deposit products, such as traditional savings, money market accounts, Certificates of Deposit (CDs), and IRAs, alongside both interest-bearing and non-interest-bearing checking options. It also facilitates investments and offers a range of lending products including credit and debit cards, home loans (residential mortgages and equity loans), and various direct and indirect personal loans like those for automobiles or recreational vehicles. Through its Global Wealth & Investment Management arm, the company delivers sophisticated financial planning and asset management services.…

Historical context

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Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
  3. Polygon adjusted daily market bars

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-10-15. For educational purposes only; not investment advice.