Is Bank of America Stock Prepared for Takeoff?

Since the beginning of the year, Bank of America (NYSE: BAC  ) has cleared up much of the uncertainty that's weighed on its stock. In January, it settled with Fannie Mae to resolve billions of dollars' worth of claims related to the sale of faulty mortgages by Countrywide Financial. In April, it settled multiple securities fraud lawsuits with private investors. And most recently, it came to an agreement with MBIA (NYSE: MBI  ) , resolving one of the most contentious legal battles related to the financial crisis.

In the video below, Motley Fool contributor John Maxfield discusses whether, with these things out of the way, it's reasonable for investors to conclude that Bank of America stock will outperform the market going forward.

With so much of the financial industry getting bad press these days, it may be a greedy when others are fearful moment. Not surprisingly, some of Warren Buffett's biggest investments are in the space. In the Motley Fool's free report, The Stocks Only the Smartest Investors Are Buying, you can learn about a small, under-the-radar bank that's too tiny for Buffett's billions. Too bad, because it has better operating metrics than his favorites. Just click here to keep reading.


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  • Report this Comment On May 23, 2013, at 2:30 PM, TSP1973 wrote:

    I keep hearing people complain about Bank of America. Yet most of the same people that I keep hearing complain about Bank of America are the same people that keep banking with them! If most people would just drop Bank of America and go to another one like a local owned bank, Bank of America would be hit hard and might go out of business!

  • Report this Comment On May 23, 2013, at 7:32 PM, Rusty56 wrote:

    TSP - Obviously you lost your teller job at BAC and are just plain sour. Hope your unemployment checks don't bounce. And yes 50% of Americans do business with BAC so we don't need YOU!

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