Comparison of Banc of California and Bank of America: Dividends, Earnings, Analyst Recommendations, and More

Banc of California vs. Bank of America: Which Finance Company is the Superior Investment?

In the world of finance, two major players stand out: Banc of California and Bank of America. But which of these companies is the superior investment opportunity? Let’s take a closer look at the key factors that differentiate these two finance giants.

Dividends:
Banc of California pays an annual dividend of $0.40 per share with a dividend yield of 3.1%, while Bank of America pays $0.96 per share with a dividend yield of 2.4%. Despite Banc of California having a lower payout ratio, Bank of America’s higher yield makes it a more attractive dividend stock.

Earnings & Valuation:
Bank of America boasts higher revenue and earnings compared to Banc of California. Additionally, Banc of California is trading at a lower price-to-earnings ratio, making it the more affordable option for investors.

Analyst Recommendations:
Analysts favor Banc of California over Bank of America, with a consensus target price indicating a potential upside of 27.64% for Banc of California compared to just 0.05% for Bank of America.

Institutional and Insider Ownership:
Banc of California has higher institutional ownership at 86.9% compared to Bank of America’s 70.7%. Additionally, Banc of California has a higher insider ownership at 7.4% compared to Bank of America’s 0.3%.

Risk and Volatility:
Both companies exhibit volatility, with Banc of California having a beta of 1.15 and Bank of America with a beta of 1.36. This suggests that Bank of America’s stock price is more volatile than Banc of California’s.

Profitability:
Bank of America outperforms Banc of California in terms of net margins, return on equity, and return on assets, indicating stronger profitability.

In summary, Bank of America edges out Banc of California in 10 out of 16 factors compared between the two stocks. While Banc of California may offer a higher dividend yield and potential upside, Bank of America’s stronger financial performance and profitability make it a more compelling investment option for investors.

Sources:
– MarketBeat
– Banc of California
– Bank of America