Bank of America Shares Fall 8.4% After Earnings Miss and Treasury Fine
Bank of America shares fell about 8.4% to $49.44 by 10:11 a.m. ET Wednesday after the bank reported third-quarter earnings of 91 cents per share, below the $1.10 analyst estimate. The drop followed a $1.21 billion Treasury penalty; the bank also reported revenue of $30 billion versus $30.69 billion expected.
Bank of America Corp. 2 billion fine. S. 21 billion in penalties against the bank, saying it had failed for years to report over $5 billion in suspicious transactions.
The Office of the Comptroller of the Currency contributed $750 million, the largest penalty in the agency’s history. The market’s reaction was far larger. BAC stock is sinking. See the real-time price action here.
m. 44, according to Pro market data. 1 billion shares, the decline erased about $32 billion in market value, more than 25 times the fine. 9% for 2026.
23. Read Also: Elon Musk Agrees: GTA VI Could Be 'Swan Song for the Big Studio Era' Still a Miss Without the Fine The penalty doesn’t explain the whole miss. 10 analysts expected. 69 billion estimate.
The fine took about 17 cents a share off net income. 08 a share, still below forecasts. The Wall Street Journal said profit disappointed “even excluding” the Treasury penalty. 8 billion.
Trading was weaker too. 1 billion as fixed income, currencies and commodities slumped, even though CEO Brian Moynihan had forecast roughly flat results in September. See More: Top Growth Stocks Control Questions Regulators portrayed the compliance failures as long-running and widespread. S.
national and economic security,” Comptroller Jonathan Gould said. The OCC added that the bank never fixed problems flagged in a 2024 cease-and-desist order. Treasury’s language was harsher. It said the bank “prioritized its revenues” while keeping compliance resources to a minimum.
Bank of America says its remediation costs are already in its expense base. Even so, analysts told Reuters the penalty raises questions about future expenses and how long the regulatory order will last. Neither has a clear end date, and investors are treating that uncertainty as far more costly than the fine itself. 81 at the time of publication on Wednesday, according to Pro data.
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