Bank of America (BAC) is set to release its earnings before market open on Wednesday, and looking at industry reports, expectations are low for the mega bank.
According to a report from briefing.com, BAC will follow up peers Wells Fargo (WFC) and JPMorgan Chase (JPM), who reported this morning.
“Both banks posted mixed results in what can be viewed as an underwhelming Q2 performance. BAC is coming off of a poor Q1 report so, coupled with the WFC and JPM results, expectations will be low,” the report stated.
Wells Fargo’s mortgage originations came in at $62 billion, up from $49 billion in prior quarter. Applications were at $81 billion, down from $93 billion in prior quarter.
Meanwhile, JPMorgan’s mortgage banking net income wasn’t as strong and came in at $584 million, a decrease of 20%. Net revenue was $1.8 billion, a decrease of 21%, driven by lower net servicing revenue and lower repurchase benefit.
In its first-quarter earnings, Bank of America posted net income of $3.4 billion, or $0.27 per diluted share, for the first quarter of 2015, compared to a loss of $276 million, or $0.05 per share, in the year-ago period.
The HW30, HousingWire’s exclusive list of mortgage-related stocks, ended the day up 0.78%, following the start of earnings season. Wells Fargo finished the day up 0.90%, while JPMorgan concluded the day up 1.40%.
