10 Best Financial Stocks to Buy According to Billionaires

8. Bank of America Corporation (NYSE:BAC)

Number of Billionaire Investors: 18

Bank of America Corporation (NYSE:BAC) was founded in 1784 and is based in Charlotte, North Carolina. It caters to individuals, businesses, and governments worldwide, offering savings and checking accounts, loans, credit cards, and investment products. The company also provides wealth management, commercial lending, treasury solutions, advisory services, and securities trading. BAC is favored by 18 billionaire investors as of Q4 2024, making it one of the best financial stocks to invest in.

Bank of America Corporation (NYSE:BAC) is set to pay a quarterly dividend of $0.26 per common share on March 28, 2025, to shareholders on record as of March 7. Additionally, the bank will pay a $1.75 per share dividend for its 7% Cumulative Redeemable Preferred Stock, Series B on April 25, to shareholders listed by April 11.

On March 25, Bank of America Corporation (NYSE:BAC) reported that it plans to repay two sets of bonds in full on April 2, 2025, a year ahead of schedule. This includes $500 million in Floating Rate Notes and $3 billion in Fixed/Floating Rate Notes. Investors will receive the total principal amount, along with any interest accrued up to that date. After April 2, no further interest will be paid.

Bank of America Corporation (NYSE:BAC) posted a net income of $6.7 billion, or $0.82 per share, in Q4, and revenue climbed 15% to $25.3 billion, fueled by higher investment banking, asset management, and trading fees. Net interest income edged up 3%, supported by loan growth and asset repricing, though offset by lower interest rates. The bank set aside $1.5 billion for credit losses, up from $1.1 billion last year, while expenses dropped 5%, largely due to the absence of a one-time FDIC charge in 2023. Deposits increased 3% to $1.96 trillion, and loans rose by the same percentage to $1.08 trillion. Checking accounts also continued steady growth, adding 213,000 new accounts. Digital engagement remained high, with 3.9 billion logins and 61% of sales happening online. BAC’s shareholder returns totaled $5.5 billion through dividends and stock buybacks.