BAC
Bank of America Corporation
BAC has a slight edge over ROOT overall, supported by lower modeled downside and stronger fundamentals.
ROOT
Root, Inc.
ROOT offers stronger valuation, but that advantage does not outweigh its weaker overall profile.
BAC Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| N/A | |
| N/A |
BAC's revenue and profitability are currently healthy. Free cash flow and net leverage aren't meaningful measures for financial services companies like BAC.
ROOT Fundamentals
| Metric | Status |
|---|---|
| Stable | |
| Healthy | |
| N/A | |
| N/A |
ROOT's profitability is currently healthy, and its revenue is stable. Free cash flow and net leverage aren't meaningful measures for financial services companies like ROOT.
BAC PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Cheap | 9.4x | $39.50 | -22% |
| Forward | 10x | $50.51 | — |
| Current | 12x | $50.51 | — |
| Fair | 13x | $53.81 | +6.5% |
| Expensive | 15x | $62.23 | +23% |
Historical ranges are pointers, not guarantees.
BAC's PE is in its fair range at 12x. If earnings grow as analysts expect, today's price would be 10x next year's earnings, in its cheap range.
ROOT PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Current | 9.1x | $43.63 | — |
| Cheap | 15x | $73.79 | +69% |
| Fair | 19x | $89.09 | +104% |
| Forward | 19x | $43.63 | — |
| Expensive | 40x | $189 | +334% |
Historical ranges are pointers, not guarantees.
ROOT has the edge over BAC in the historical PE scenario, which offers more potential upside but is not a forecast.
BAC Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Growth | |
| Growth | |
| Strongly improving | |
| Limited | |
| Moderate |
BAC has the edge over ROOT on the outlook, with more favorable valuation and revenue expectations.
ROOT Forward outlook
| Metric | Outlook |
|---|---|
| Strongly deteriorating | |
| Growth | |
| Stable | |
| Stable | |
| Limited | |
| High |
Analysts expect ROOT's earnings to grow, with its revenue and profitability holding steady.
BAC Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $4.92 | +17% |
| Q3 2026 | $4.19 | +14% |
| Q2 2026 | $4.34 | +27% |
| Q1 2026 | $4.02 | +20% |
| Q4 2025 | $3.81 | +19% |
| Q3 2025 | $3.66 | +33% |
| Q2 2025 | $3.41 | +20% |
| Q1 2025 | $3.35 | +16% |
| Q4 2024 | $3.21 | +4.2% |
BAC has the edge over ROOT on earnings, with more consistent year-over-year improvement.
ROOT Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $2.33 | -51% |
| Q3 2026 | $4.79 | +40% |
| Q2 2026 | $3.58 | -30% |
| Q1 2026 | $3.38 | +1.8% |
| Q4 2025 | $2.36 | +29% |
| Q3 2025 | $3.43 | +$4.67 |
| Q2 2025 | $5.13 | +$10.88 |
| Q1 2025 | $3.32 | +$11.10 |
| Q4 2024 | $1.83 | +$12.07 |
ROOT earned $4.79 per share over the past year, up 40% from the year before.
BAC Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $30B | +6.7% |
| Q2 2026 | $31.6B | +19% |
| Q1 2026 | $30.3B | +11% |
| Q4 2025 | $31.2B | +23% |
| Q3 2025 | $28.1B | +11% |
| Q2 2025 | $26.5B | +4.3% |
| Q1 2025 | $27.4B | +6% |
| Q4 2024 | $25.3B | +15% |
BAC's revenue has grown year over year for 10 quarters in a row: $30B last quarter, up 6.7% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 30% | -3.7 points |
| Q2 2026 | 37% | +7.6 points |
| Q1 2026 | 34% | +4.7 points |
| Q4 2025 | 40% | +12 points |
| Q3 2025 | 34% | +4.8 points |
| Q2 2025 | 29% | -0.7 points |
| Q1 2025 | 30% | +1.5 points |
| Q4 2024 | 28% | +14 points |
BAC has the edge over ROOT on profitability, with a higher operating margin.
ROOT Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $381.3M | -1.7% |
| Q2 2026 | $389.2M | +1.6% |
| Q1 2026 | $393.5M | +13% |
| Q4 2025 | $397M | +22% |
| Q3 2025 | $387.8M | +27% |
| Q2 2025 | $382.9M | +32% |
| Q1 2025 | $349.4M | +37% |
| Q4 2024 | $326.7M | +68% |
ROOT's revenue is growing: $381M last quarter, down 1.7% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 4.8% | +4.7 points |
| Q2 2026 | 8.9% | +1.8 points |
| Q1 2026 | 10% | +3.6 points |
| Q4 2025 | 2.6% | -8 points |
| Q3 2025 | 0.1% | -11 points |
| Q2 2025 | 7.1% | +5.8 points |
| Q1 2025 | 6.8% | +4.7 points |
| Q4 2024 | 11% | +17 points |
ROOT's operating margin was 4.8% last quarter, up 4.7 points from the same quarter a year ago.
BAC Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | -$6.5B | -114% |
| Q2 2026 | $29B | +$38.2B |
| Q1 2026 | $41.8B | +$44B |
| Q4 2025 | -$22.9B | -189% |
| Q3 2025 | $46.9B | +$84.2B |
| Q2 2025 | -$9.1B | -150% |
| Q1 2025 | -$2.2B | +$13.4B |
| Q4 2024 | $25.9B | -21% |
BAC's free cash flow was $41.4B over the past year, down 33% from the year before. Free cash flow isn't a meaningful measure for financial services companies like BAC.
ROOT Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q2 2026 | $57.5M | +11% |
| Q1 2026 | $9.3M | -65% |
| Q4 2025 | $70.1M | +1.3% |
| Q3 2025 | $57.6M | +17% |
| Q2 2025 | $52M | -17% |
| Q1 2025 | $26.8M | +87% |
| Q4 2024 | $69.2M | +50% |
| Q3 2024 | $49.4M | +238% |
ROOT has the edge over BAC on cash flow, with more consistent year-over-year improvement.
BAC Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -1% | -72M shares |
| 1 year | -5.3% | -405M shares |
| 3 years | -11% | -854M shares |
| 5 years | -15% | -1.3B shares |
| Available history | -24% | -2.2B shares |
BAC has the edge over ROOT on shareholder dilution, with a more favorable share count trend.
| Quarter | Spent |
|---|---|
| Q3 2026 | $6B |
| Q2 2026 | $6B |
| Q1 2026 | $7.2B |
| Q4 2025 | $6.3B |
| Q3 2025 | $5.3B |
| Q2 2025 | $5.3B |
| Q1 2025 | $4.5B |
| Q4 2024 | $3.5B |
BAC spent $25.6B buying back its own shares over the past year, up 37% from the year before.
ROOT Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -1.2% | -200K shares |
| 1 year | +9.1% | +1.4M shares |
| 3 years | +16% | +2.3M shares |
| 5 years | +21% | +2.9M shares |
| Available history | +48% | +5.4M shares |
ROOT has 17M diluted shares, up 9.1% from a year ago.
| Quarter | Spent |
|---|---|
| Q3 2026 | $15.5M |
| Q4 2021 | — |
| Q3 2021 | — |
| Q4 2020 | — |
| Q2 2020 | — |
| Q1 2020 | — |
| Q4 2019 | — |
BAC Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 6.4x | High |
| Q2 2026 | 6.7x | High |
| Q1 2026 | 7.1x | High |
| Q4 2025 | 7.7x | High |
| Q3 2025 | 8.3x | High |
| Q2 2025 | 8.8x | High |
| Q1 2025 | 8.6x | High |
| Q4 2024 | 9.0x | High |
BAC's net debt is about 6.4 years of its operating earnings (EBITDA), down from 8.3 years a year ago. Net leverage isn't a meaningful measure for financial services companies like BAC.
ROOT Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | -3.4x | Net Cash |
| Q2 2026 | -3.1x | Net Cash |
| Q1 2026 | -4.3x | Net Cash |
| Q4 2025 | -6.4x | Net Cash |
| Q3 2025 | -4.6x | Net Cash |
| Q2 2025 | -3.3x | Net Cash |
| Q1 2025 | -3.7x | Net Cash |
| Q4 2024 | -4.3x | Net Cash |
ROOT has the edge over BAC on leverage, with a lower net debt burden relative to earnings.
BAC Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 37.1 | Neutral |
| Stochastic | 4.9 | Oversold |
BAC's weekly RSI is 37 (neutral) and its Stochastic is 5 (oversold).
ROOT Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 37.0 | Neutral |
| Stochastic | 17.5 | Oversold |
ROOT's weekly RSI is 37 (neutral) and its Stochastic is 17 (oversold).
BAC PE vs Financial Services Sector
| Metric | BAC | Sector median | Relative |
|---|---|---|---|
| PE | 12x | 13x | 7.5% below |
| PE % | 40 | 63 | 23 pts below |
BAC is trading at 12x earnings, in line with the Financial Services sector's median of 13x.
ROOT PE vs Financial Services Sector
| Metric | ROOT | Sector median | Relative |
|---|---|---|---|
| PE | 9.1x | 13x | 30% below |
| PE % | 1 | 61 | 60 pts below |
ROOT has the edge over BAC on valuation relative to its sector.
BAC Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $52.1 | 3% below |
| 20 week MA | $57.8 | 13% below |
| 50 week MA | $54.7 | 7.7% below |
| 100 week MA | $50.5 | 0% below |
| 200 week MA | $42.5 | 19% above |
BAC has the edge over ROOT on trend strength, trading above more of its moving averages.
ROOT Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $48.1 | 9.3% below |
| 20 week MA | $52.9 | 18% below |
| 50 week MA | $56.4 | 23% below |
| 100 week MA | $82.9 | 47% below |
| 200 week MA | $56.1 | 22% below |
ROOT is in a downtrend: it's below all five of its weekly moving averages, and 22% below its 200-week average.
BAC Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $35.4 | $30.0 | -15% |
| 2021 | $30.0 | $44.4 | +48% |
| 2022 | $44.4 | $32.5 | -27% |
| 2023 | $32.5 | $33.7 | +3.7% |
| 2024 | $33.7 | $44.3 | +32% |
| 2025 | $44.3 | $56.2 | +27% |
| 2026 YTD | $56.2 | $50.5 | -10% |
BAC has the edge over ROOT on returns for 2026, with the stronger performance.
ROOT Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $431.5 | $309.1 | -28% |
| 2021 | $309.1 | $58.3 | -81% |
| 2022 | $58.3 | $4.64 | -92% |
| 2023 | $4.64 | $10.5 | +126% |
| 2024 | $10.5 | $73.0 | +597% |
| 2025 | $73.0 | $73.2 | +0.3% |
| 2026 YTD | $73.2 | $43.6 | -40% |
ROOT's yearly returns have swung widely, from +597% in 2024 to −92% in 2022. It's down 40% so far in 2026.