- Bank of America Q2 23 – 18/07 – despite a solid set of Q1 numbers the Bank of America share price has struggled for gains, languishing just above its lows this year. Q1 revenues and profits comfortably came in ahead of forecasts at $26.39bn and $0.94c a share respectively. Unlike some of its peers, the bank managed to increase its revenues from last year with FICC performing well, although equities trading was disappointing falling from $2bn last year to $1.62bn. Net interest income drove most of the improvement, rising by almost $3bn to $14.58bn as net interest margin rose from 1.69% to 2.2%. As we look towards this week's Q2 numbers revenues are expected to slow from Q1 to $25bn, while profits are expected to come in at $0.85c a share. The recent bank stress test results have prompted Bank of America to push back on the Federal Reserve's findings when it comes to the central banks findings in an adverse economic scenario, with the bank querying the Fed's more optimistic outlook. The improvement in NIM has prompted some pushback on the banks reluctance to pass on interest rate increases to savers, at a time when mortgage costs have been rising more quickly.
