Analyst upgrades BofA due to strong growth, downgrades Goldman Sachs based on high valuation

From Dow Jones & Company: 2024-07-02 13:25:00

Bank of America stock is expected to rally after an upgrade from Seaport Research Partners. Analyst Jim Mitchell raised the stock to Buy due to strong deposit growth and high interest rates. His $48 price target suggests a 19% increase. Meanwhile, Goldman Sachs shares were downgraded to Neutral based on their high valuation and recent rally.

Both banks have seen a 19% increase in stock price this year, with Goldman near its all-time high and BofA trading below its record. Second-quarter earnings for both banks are due in the next two weeks. Mitchell has raised earnings estimates for the second quarter, 2024, and 2025, citing improvements in investment banking and trading.



Read more at Dow Jones & Company: Analyst Downgrades Goldman Sachs Stock and Upgrades BofA. Here’s Why.