Latest Ratios: P/E Ratio 15.7x · EV/EBITDA 14.0x · ROE 10.2%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $424.8B | $415.1B | $344.7B | $272.1B | $270.5B | $380.8B | $266.6B | $332.6B | $252.2B | $318.2B | $244.1B |
| Enterprise Value | $558.9B | $549.1B | $706.7B | $548.8B | $531.6B | $521.6B | $332.2B | $594.1B | $503.9B | $586.5B | $497.6B |
| P/E Ratio → | 15.67 | 14.40 | 13.65 | 10.93 | 10.38 | 12.46 | 16.21 | 12.81 | 9.44 | 18.92 | 14.73 |
| P/S Ratio | 2.22 | 2.17 | 1.79 | 1.58 | 2.35 | 4.06 | 2.84 | 2.93 | 2.30 | 3.20 | 2.61 |
| P/B Ratio | 1.49 | 1.37 | 1.17 | 0.93 | 0.99 | 1.41 | 0.98 | 1.26 | 0.95 | 1.19 | 0.92 |
| P/FCF | 33.68 | 32.91 | — | 6.05 | — | — | 7.02 | 5.38 | 6.38 | 32.26 | 14.13 |
| P/OCF | 33.68 | 32.91 | — | 6.05 | — | — | 7.02 | 5.38 | 6.38 | 32.26 | 14.13 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.87 | 3.67 | 3.19 | 4.62 | 5.56 | 3.54 | 5.23 | 4.60 | 5.90 | 5.31 |
| EV / EBITDA | 13.97 | 13.73 | 22.47 | 18.05 | 16.13 | 14.54 | 15.94 | 17.23 | 13.75 | 18.73 | 18.25 |
| EV / EBIT | 14.83 | 14.57 | 24.16 | 19.36 | 17.17 | 15.35 | 17.49 | 18.14 | 14.57 | 20.08 | 19.89 |
| EV / FCF | — | 43.54 | — | 12.20 | — | — | 8.74 | 9.62 | 12.75 | 59.46 | 28.80 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 56.1% | 56.1% | 49.9% | 54.8% | 80.3% | 99.8% | 79.2% | 77.2% | 80.0% | 84.2% | 85.5% |
| Operating Margin | 19.7% | 19.7% | 15.2% | 16.5% | 26.9% | 36.2% | 20.3% | 28.8% | 31.5% | 29.4% | 26.7% |
| Net Profit Margin | 15.9% | 15.9% | 14.1% | 15.4% | 23.9% | 34.1% | 19.1% | 24.1% | 25.7% | 18.3% | 19.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 10.2% | 10.2% | 9.2% | 9.4% | 10.1% | 11.8% | 6.7% | 10.3% | 10.6% | 6.8% | 6.8% |
| ROA | 0.9% | 0.9% | 0.8% | 0.9% | 0.9% | 1.1% | 0.7% | 1.1% | 1.2% | 0.8% | 0.8% |
| ROIC | 3.5% | 3.5% | 2.4% | 2.5% | 3.0% | 3.4% | 2.0% | 3.5% | 3.7% | 3.2% | 2.7% |
| ROCE | 4.5% | 4.5% | 3.5% | 3.9% | 5.2% | 5.8% | 3.4% | 6.1% | 6.5% | 5.6% | 4.7% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.21 | 1.21 | 2.23 | 2.12 | 1.82 | 1.84 | 1.66 | 1.62 | 1.65 | 1.64 | 1.54 |
| Debt / EBITDA | 9.15 | 9.15 | 20.94 | 20.34 | 15.13 | 13.83 | 21.72 | 12.47 | 11.91 | 13.95 | 15.08 |
| Net Debt / Equity | — | 0.44 | 1.22 | 0.95 | 0.96 | 0.52 | 0.24 | 0.99 | 0.95 | 1.00 | 0.95 |
| Net Debt / EBITDA | 3.35 | 3.35 | 11.51 | 9.10 | 7.92 | 3.93 | 3.15 | 7.58 | 6.87 | 8.57 | 9.30 |
| Debt / FCF | — | 10.63 | — | 6.15 | — | — | 1.73 | 4.23 | 6.37 | 27.20 | 14.67 |
| Interest Coverage | 0.48 | 0.48 | 0.32 | 0.39 | 1.54 | 7.17 | 2.31 | 1.47 | 1.86 | 2.37 | 2.51 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.42 | 0.42 | 0.30 | 0.30 | 0.22 | 0.29 | 0.31 | 0.26 | 0.28 | 0.32 | 0.32 |
| Quick Ratio | 0.42 | 0.42 | 0.30 | 0.30 | 0.22 | 0.29 | 0.31 | 0.26 | 0.28 | 0.32 | 0.32 |
| Cash Ratio | 0.09 | 0.09 | 0.12 | 0.15 | 0.10 | 0.14 | 0.17 | 0.09 | 0.10 | 0.10 | 0.09 |
| Asset Turnover | — | 0.06 | 0.06 | 0.05 | 0.04 | 0.03 | 0.03 | 0.05 | 0.05 | 0.04 | 0.04 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.1% | 2.3% | 2.8% | 3.3% | 3.2% | 2.1% | 2.9% | 1.8% | 2.7% | 1.8% | 1.7% |
| Payout Ratio | 31.3% | 31.3% | 35.0% | 34.3% | 31.2% | 25.2% | 43.2% | 21.6% | 24.5% | 31.3% | 23.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 6.4% | 6.9% | 7.3% | 9.1% | 9.6% | 8.0% | 6.2% | 7.8% | 10.6% | 5.3% | 6.8% |
| FCF Yield | 3.0% | 3.0% | — | 16.5% | — | — | 14.2% | 18.6% | 15.7% | 3.1% | 7.1% |
| Buyback Yield | 5.7% | 5.8% | 3.8% | 1.7% | 1.9% | 6.6% | 2.6% | 8.5% | 9.8% | 4.0% | 2.1% |
| Total Shareholder Yield | 7.8% | 8.1% | 6.6% | 5.0% | 5.0% | 8.7% | 5.5% | 10.2% | 12.5% | 5.8% | 3.8% |
| Shares Outstanding | — | $7.5B | $7.8B | $8.1B | $8.2B | $8.6B | $8.8B | $9.4B | $10.2B | $10.8B | $11.0B |
Securities portfolio duration risk
According to current market data, Bank of America trades at a P/B of 1.44, which suggests that investors are pricing the bank at a significant discount to peers like JPMorgan Chase, likely reflecting concerns over the bank's ability to generate sustainable returns on tangible equity.
The current valuation multiple appears to be constrained by the market's skepticism regarding the bank's long-term earnings power in a volatile interest rate environment. Investors should monitor whether the current P/B discount narrows as the bank demonstrates improved efficiency and a more stable return on tangible equity profile.
Based on reported figures, the bank's ROE has remained suppressed, hovering near 2.3% to 2.8% over the last several quarters, which indicates that the combination of compressed net interest margins and fluctuating non-interest income is significantly limiting the bank's overall profitability quality.
The DuPont analysis suggests that the bank's reliance on a massive, low-yielding securities portfolio is diluting asset utilization efficiency. Without a meaningful expansion in NIM or a more consistent contribution from fee-based segments, the bank may struggle to achieve the return on equity levels required to justify a premium valuation.
As reported in financial statements, the efficiency ratio spiked to 61.2% in 2026Q1, a sharp departure from the 35% range observed in late 2025, suggesting that the bank's high fixed-cost base is struggling to maintain operating leverage during periods of revenue contraction.
This volatility in the efficiency ratio warrants further investigation into whether the bank's massive technology spend is effectively offsetting the costs of its physical branch network. The current trend suggests that management may face difficulty in controlling operating expenses if revenue growth remains stagnant or declines.
Investors frequently rely on P/E ratios to evaluate Bank of America, yet this metric is fundamentally flawed for this institution because it fails to account for the extreme volatility in loan loss provisions and the significant unrealized losses embedded within the held-to-maturity securities portfolio.
The P/E ratio obscures the underlying earnings quality by treating provision swings as recurring operational costs rather than accounting adjustments. Analysts should instead prioritize P/TBV and adjusted ROE metrics to better capture the bank's true capital position and the economic reality of its balance sheet.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying BAC stock.
Bank of America Corporation's current P/E ratio is 15.7x. The historical average is 17.8x. This places it at the 56th percentile of its historical range.
Bank of America Corporation's current EV/EBITDA is 14.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 27.3x.
Bank of America Corporation's return on equity (ROE) is 10.2%. The historical average is 11.3%.
Based on historical data, Bank of America Corporation is trading at a P/E of 15.7x. This is at the 56th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Bank of America Corporation's current dividend yield is 2.12% with a payout ratio of 31.3%.
Bank of America Corporation has 56.1% gross margin and 19.7% operating margin. Operating margin between 10-20% is typical for established companies.
Bank of America Corporation's Debt/EBITDA ratio is 9.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.