What is BANK OF AMERICA CORP /DE/ (BAC)'s PEG ratio?

BANK OF AMERICA CORP /DE/ (BAC) has a PEG ratio of 0.93 (Potentially Undervalued), based on a PE ratio of 14.4 and expected EPS growth of 15.5% (5-Year EPS CAGR).

Is BAC undervalued based on its PEG ratio?

A PEG below 1.0 is conventionally read as potentially undervalued, 1.0–2.0 as fairly valued, and above 2.0 as potentially overvalued relative to growth. At 0.93, BANK OF AMERICA CORP /DE/ (BAC) screens as "Potentially Undervalued". PEG is one signal, not investment advice — see the full DCF fair value at evidinvest.com/valuation/BAC.

BANK OF AMERICA CORP /DE/ (BAC) PEG Ratio

Potentially Undervalued

PE ratio relative to earnings growth — is the valuation justified?

0.93

PEG Ratio

PEG ratio is generally unreliable for Financial Services companies — earnings are driven by interest margins and provisions

PEG ratio is generally unreliable for Financial Services companies

0.93

Growth Rate Source

Good Data Quality5-Year EPS CAGR

Current Price

$62.68

TTM EPS

$4.34

P/E Ratio

14.44

Growth Rate

15.5%

5-Year EPS CAGR

Sector

Financial Services

Banks - Regional

Calculated

9/5/2026

7:06:37 AM

Peer Comparison

Sample Size

4 peers

Industry Median PEG

0.94

25th Percentile

0.87

75th Percentile

1.76

BAC PEG (0.93) vs Industry Median (0.94): 1% discount

Symbol	Company	PEG	P/E	Growth	vs BAC
WFC	WELLS FARGO & COMPANY/MN	0.18	13.1	71.3%	-80%
JPM	JPMORGAN CHASE & CO	0.87	15.4	17.7%	-7%
GS	GOLDMAN SACHS GROUP INC	1.01	16.0	15.8%	+9%
C	CITIGROUP INC	1.76	14.8	8.4%	+88%

How to Interpret PEG Ratio

PEG < 1.0 — Potentially Undervalued. The stock may be priced below its earnings growth rate, suggesting a potential buying opportunity.

PEG 1.0–2.0 — Fairly Valued. The stock price is roughly in line with its earnings growth. A PEG of 1.0 is often considered "fair value."

PEG > 2.0 — Potentially Overvalued. The stock may be priced above what its earnings growth justifies.

Limitations:PEG ratios are less reliable for financial firms (earnings driven by interest margins), companies with negative/zero earnings growth, and hypergrowth companies (>100% growth) where the ratio may appear misleadingly low. Always use PEG alongside other valuation metrics.

BANK OF AMERICA CORP /DE/ (BAC) PEG Ratio

Peer Comparison

How to Interpret PEG Ratio

More on BAC

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BANK OF AMERICA CORP /DE/ (BAC) PEG Ratio

Peer Comparison

How to Interpret PEG Ratio

More on BAC

Compare with peers

Explore