Think of Enterprise Value as the theoretical takeover price. It is more comprehensive than market capitalization (Market Cap), which only includes common equity. Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.
EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. This ratio does not apply to banks.
EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA. This ratio does not apply to banks.
EV-to-Revenue is calculated as Enterprise Value divided by its Revenue. As of today, Bank of America's Enterprise Value is $333,213 Mil. Bank of America's Revenue for the trailing twelve months (TTM) ended in Dec. 2023 was $98,141 Mil. Therefore, Bank of America's EV-to-Revenue ratio for today is 3.40.
Bank of America Enterprise Value Historical Data
The historical data trend for Bank of America's Enterprise Value can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
Bank of America Annual Data | ||||||||||||||||||||
Trend | Dec14 | Dec15 | Dec16 | Dec17 | Dec18 | Dec19 | Dec20 | Dec21 | Dec22 | Dec23 | ||||||||||
Enterprise Value | 431,003.20 | 181,962.05 | 332,595.66 | 358,702.35 | 287,120.14 |
Bank of America Quarterly Data | ||||||||||||||||||||
Jun19 | Sep19 | Dec19 | Mar20 | Jun20 | Sep20 | Dec20 | Mar21 | Jun21 | Sep21 | Dec21 | Mar22 | Jun22 | Sep22 | Dec22 | Mar23 | Jun23 | Sep23 | Dec23 | Mar24 | |
Enterprise Value | 208,990.78 | 202,180.64 | 216,172.60 | 287,120.14 | 340,686.71 |
Competitive Comparison
For the Banks - Diversified subindustry, Bank of America's Enterprise Value, along with its competitors' market caps and Enterprise Value data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Bank of America Enterprise Value Distribution
For the Banks industry and Financial Services sector, Bank of America's Enterprise Value distribution charts can be found below:
* The bar in red indicates where Bank of America's Enterprise Value falls into.
Bank of America Enterprise Value Calculation
Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.
Bank of America's Enterprise Value for the fiscal year that ended in Dec. 2023 is calculated as
Enterprise Value (A: Dec. 2023 ) | |||||
= | Market Cap | + | Preferred Stock | + | |
= | 265840.1382 | + | 28397 | + | 302204 |
+ | + | Minority Interest | - | Balance Sheet Cash And Cash Equivalents | |
+ | 32098 | + | 0 | - | 341419 |
= | 287,120 |
Bank of America's Enterprise Value for the quarter that ended in Dec. 2023 is calculated as
Enterprise Value (Q: Dec. 2023 ) | |||||
= | Market Cap | + | Preferred Stock | + | |
= | 265840.1382 | + | 28397 | + | 302204 |
+ | + | Minority Interest | - | Balance Sheet Cash And Cash Equivalents | |
+ | 32098 | + | 0 | - | 341419 |
= | 287,120 |
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Bank of America(NYSE:BAC) Enterprise Value Explanation
When an investor buy a company, the investor needs to pay not only the common shares, he/she also needs to pay the shareholders of Preferred Stocks. He also assumes the debt of the company, and receives the cash on the company's balance sheet.
If a company has more cash than debt, the investor actually pays less than the Market Cap because he immediately owns the cash once the transaction goes through.
The market value of Preferred Stock needs to be added to the market value of common stocks in the calculation of Enterprise Value.
For the companies with the same Market Cap, the smaller the Enterprise Value is, the cheaper the company is.
Enterprise Value can be negative when the company's net cash is more than its Market Cap. In this case the investor is basically getting the company for free and get paid for that.
1. EV-to-Revenue is calculated as Enterprise Value divided by its Revenue.
Bank of America's EV-to-Revenue for today is:
EV-to-Revenue | = | Enterprise Value (Today) | / | Revenue (TTM) |
= | 333213.116 | / | 98141 | |
= | 3.40 |
Bank of America's current Enterprise Value is $333,213 Mil.
Bank of America's Revenue for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $98,141 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Bank of America Enterprise Value Related Terms
Thank you for viewing the detailed overview of Bank of America's Enterprise Value provided by GuruFocus.com. Please click on the following links to see related term pages.
Bank of America (Bank of America) Business Description
Industry
GURUFOCUS.COM »STOCK LIST »Financial Services » Banks » Bank of America Corp (NYSE:BAC) » Definitions » Enterprise Value
Comparable Companies
WFC C JPM NTB SHSE:601398 SHSE:601288 SHSE:601988 SHSE:601939 LSE:HSBA TSX:RY ASX:CBA TSE:8306 TSX:TD XSWX:UBSG TSE:8316 XMAD:SAN TSX:BMO ASX:NAB XMAD:BBVA TSX:BNS
Traded in Other Exchanges
BACpS.PFD:USA BACpQ.PFD:USA BACpP.PFD:USA BACpO.PFD:USA BACpN.PFD:USA BACpM.PFD:USA BACpK.PFD:USA BACpB.PFD:USA BACRP.PFD:USA BMLpL.PFD:USA BMLpJ.PFD:USA BMLpH.PFD:USA BMLpG.PFD:USA BACpL.PFD:USA BACpE.PFD:USA BAC:Peru BAC:Mexico BAC_KZ:Kazakhstan 1BAC:Italy NCBd:UK 0Q16:UK NCB0:Germany NCB:Germany NCB:Germany NCB:Germany NCB:Germany BAC:Chile BOFA:Canada BOAC34:Brazil BOAC:Austria
Address
100 North Tryon Street, Bank of America Corporate Center, Charlotte, NC, USA, 28255
Website
Bank of America is one of the largest financial institutions in the United States, with more than $2.5 trillion in assets. It is organized into four major segments: consumer banking, global wealth and investment management, global banking, and global markets. Bank of America's consumer-facing lines of business include its network of branches and deposit-gathering operations, retail lending products, credit and debit cards, and small-business services. The company's Merrill Lynch operations provide brokerage and wealth-management services, as does its private bank. Wholesale lines of business include investment banking, corporate and commercial real estate lending, and capital markets operations. Bank of America has operations in several countries but is primarily U.S.-focused.
Executives
Thomas D Woods | director | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
James P Demare | officer: President, Global Markets | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Dean C Athanasia | officer: Pres Prf & Sm Bs Bk & Co-Hd CB | 100 FEDERAL STREET, BOSTON MA 02110 |
Lindsay D. Hans | officer: Pres, Merrill Wealth Mgmt | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Eric A. Schimpf | officer: Pres, Merrill Wealth Mgmt | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Matthew M Koder | officer: Pres, Gl Corp & Invest Banking | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Jose E Almeida | director | ONE BAXTER PARKWAY, DEERFIELD IL 60015 |
Andrew M. Sieg | officer: Pres, Merill Lynch Wlth Mgmt | 100 N TRYON STREET, CHARLOTTE NC 28255 |
Frank P Bramble | director | |
Bruce R. Thompson | officer: Vice Chair, Head Ent Credit | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Alastair M Borthwick | officer: Pres, Global Com Banking | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Aditya Bhasin | officer: Chief Tech & Info Officer | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Lauren A Mogensen | officer: Global Compl & Op Risk Exec | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Thomas M Scrivener | officer: Chief Operations Executive | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Bernard A Mensah | officer: President, International | 100 NORTH TRYON STREET, CHARLOTTE NC 28255 |
Bank of America (Bank of America) Headlines
From GuruFocus
Q4 2023 Bank of America Corp Earnings Call Transcript
By GuruFocus Research • 01-22-2024
Lear Corp at Fireside Chat with Bank of America Transcript
By GuruFocus Research • 01-22-2024
By GuruFocus Research • 01-22-2024
Bank of America Corp at Bank of America US Financials Conference Transcript
By GuruFocus Research • 01-22-2024
Bank of America Corp at Barclays Global Financial Services Conference Transcript
By GuruFocus Research • 01-22-2024
Q3 2023 Bank of America Corp Earnings Call Transcript
By GuruFocus Research • 01-22-2024
Bank of America Corp: An Exploration into Its Intrinsic Value
By GuruFocus Research • 01-23-2024
Q2 2022 Bank of America Corp Earnings Call Transcript
By GuruFocus Research • 01-22-2024
Lumen Technologies, Inc. Presents at Bank of America Securities 2023 Leveraged Finance Conference, Nov-28-2023 02:10 PM Transcript
By GuruFocus Research • 01-22-2024
Bank of America Corp at Barclays Global Financial Services Conference Transcript
By GuruFocus Research • 01-22-2024