12 Best Blue Chip Stocks To Invest In According to Short Sellers

6. Bank of America Corporation (NYSE:BAC)

Number of Hedge Fund Holders: 92

Short % of Shares Outstanding: 0.81%

Bank of America Corporation (NYSE:BAC) is a financial services company that ranks sixth on our list of the best blue chip stocks to invest in according to short sellers. The company provides investment and wealth management services to individuals, institutions, small to medium-sized businesses, large corporations, and the government.

In the second quarter of 2024, Bank of America Corporation (NYSE:BAC) added another 278,000 net new checking accounts, bringing its fiscal half-year 2024 total to 500,000. As for the wealth management segment, the company maintained 6,100 new relationships and added thousands of small businesses in its commercial business sector. Bank of America now manages $5.7 trillion in client balances, loans, deposits, and investments in its consumer and wealth management segments.

Its financial results aside, the Tier 1 investment company is also among the top credit card issuers in the United States and has one of the best retail networks across the country. Bank of America Corporation’s (NYSE:BAC) position in the market is evident from its 69-million-individual customer base, 3,800 retail locations, and 15,000 ATMs across the United States. Overall, the company has 58 million verified digital users, with 47 million active mobile users.

Analysts are also bullish on BAC and their 12-month median price target of $45.5 points to a 17% upside from current levels. In Q2 2024, there were 92 hedge funds that held positions in the stock with total stakes amounting to $48.1 billion. As of June 30, Berkshire Hathaway was the largest shareholder with a position worth $41.1 billion.

ClearBridge Investments’ ClearBridge Value Equity Strategy stated the following regarding Bank of America Corporation (NYSE:BAC) in its first quarter 2024 investor letter:

“We added several new positions during the quarter. Our largest new addition was Bank of America Corporation (NYSE:BAC), one of the world’s leading financial institutions, serving some 66 million consumer and small business clients across the U.S. as well as large corporations, financial institutions and governments globally. We believe that the interest rate pressure that Bank of America faced in early 2023 has subsided, and risks surrounding deposit outflows have abated, which should allow the company to improve its book value and capital growth as well as benefit from a rebound of capital markets activity.”