Bank of America price target raised to $58 from $53 at Barclays

Barclays raised the firm’s price target on Bank of America (BAC) to $58 from $53 and keeps an Overweight rating on the shares. The firm is “constructive” on bank stocks for 2025, saying earnings growth will accelerate on improving loan growth, increasing capital markets activity, return of positive operating leverage, and share buybacks. It sees price-to-earnings multiples expanding on a “sound” economic backdrop, regulatory reduction, higher returns, and mergers and acquisitions. Large-cap banks can continue to outperform the market into 2025 as earnings growth accelerates, contends Barclays.