Have you been eager to see how Bank of America Corporation BAC performed in Q2 in comparison with the market expectations? Let’s quickly scan through the key facts from this Charlotte-based one of the world's largest financial institutions’ earnings release this morning:

An Earnings Beat

BofA came out with earnings of 46 cents per share, which surpassed the Zacks Consensus Estimate of 43 cents. Results included $103 million of after-tax gain related to sale of the non-U.S. consumer credit card business.

Increase in revenues was the key reason for the earnings beat.

How Was the Estimate Revision Trend?

You should note that the earnings estimate revisions for BofA depicted a bearish stance prior to the earnings release. The Zacks Consensus Estimate has declined 2.3% over the last 7 days.

However, BofA has a decent earnings surprise history. Before posting the earnings beat in Q2, the company delivered positive surprises in all four trailing quarters.

Bank of America Corporation Price and EPS Surprise

Bank of America Corporation Price and EPS Surprise | Bank of America Corporation Quote

Overall, the company has a positive earnings surprise of 12.2% in the trailing four quarters.

Higher-than-expected Revenues

BofA posted net revenues (FTE basis) of $23.1 billion, which was above the Zacks Consensus Estimate of $21.9 billion. Moreover, it compared favorably with the year-ago number of $21.5 billion.

Key Statistics
 

• Investment banking fees were $1.5 billion, up 9%

• Sales and trading revenue (excluding net DVA) down 9%

• Provision for credit losses fell 26% to $726 million

• Non-interest expense rises 2% to $13.7 billion

• Operating leverage of 5%

What Zacks Rank Says

The estimate revisions that we discussed earlier have driven a Zacks Rank #3 (Hold) for BofA. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look favorable, it all depends on what sense the just-released report makes to the analysts.

(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)

Check back later for our full write up on this BofA earnings report!

"5 Trades Could Profit ""Big-League"" from Trump Policies

If the stocks above spark your interest, wait until you look into companies primed to make substantial gains from Washington's changing course.

Today Zacks reveals 5 tickers that could benefit from new trends like streamlined drug approvals, tariffs, lower taxes, higher interest rates, and spending surges in defense and infrastructure. See these buy recommendations now >>"

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Bank of America Corporation (BAC) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.