12 Best Stocks Under $100 to Buy According to Hedge Funds

4. Bank of America Corp. (NYSE:BAC)

Share Price as of April 22: $36.92

Number of Hedge Fund Holders: 113

Bank of America Corp. (NYSE:BAC) provides various financial products and services for individual consumers, small & middle-market businesses, institutional investors, large corporations, and governments. It operates through four segments: Consumer Banking, Global Wealth & Investment Management (GWIM), Global Banking, and Global Markets.

On April 8, Truist Financial analyst John McDonald CFA maintained a Buy rating on the stock with a $50 price target. This sentiment is supported by the bank’s position as the second-largest bank in the developed world and the third-largest branch network in the US. The bank makes 86% of its revenue from the US and is expected to benefit from the Trump administration.

In Q1 2025, the bank’s Global Markets segment made $1.9 billion in net income, which was an 8% increase year-over-year. Revenue, excluding DVA (Debit Valuation Adjustment), improved by 10% and reached $5.6 billion in sales and trading revenue. This growth was led by Equities, which saw a 17% increase, and FIC (Fixed Income, Currencies, and Commodities), which grew by 5%. Both Equities and FICC benefited from increased client activity during market volatility

Hardman Johnston Global Equity Strategy stated the following regarding Bank of America Corporation (NYSE:BAC) in its Q4 2024 investor letter:

“Bank of America Corporation (NYSE:BAC) is the second largest bank in the developed world and operates the third largest branch network in the US. With 86% of revenues coming from the US, the bank is a clear beneficiary of the lower regulatory environment expected from the incoming administration. The company’s business is highly diversified across retail, commercial, wealth management, and investment banking, with significant scale across all verticals. Management believes there is a big opportunity going forward in growing and monetizing its mass retail client base. Wealth is another huge opportunity, with the Merrill Lynch platform enabling customers to make more transactions and purchase additional products. Lastly, Bank of America has an opportunity to increase efficiency through cost reduction and online banking. Our expectation is for the bank’s ROE to move significantly higher, driving EPS growth and higher multiples.”