5 Best Stocks Under $50

4. Bank of America Corporation (NYSE:BAC)

Share Price as of July 21, 2022:  $33.51

Number of Hedge Fund Holders: 99

Bank of America Corporation (NYSE:BAC) is one of the oldest American banks that was founded in 1784 and is headquartered in Charlotte, North Carolina. It has a diverse set of customers that include individual customers, companies, government bodies, institutional investors, and others.

In the wake of rising interest rates, Bank of America Corporation (NYSE:BAC) raised its dividend by 1 cent in July 2022, bringing it to 22 cents and payable to shareholders of record as of September 2.

Bank of America Corporation (NYSE:BAC)’s strength is visible by the fact that despite its share price falling close to 27% this year, it still has a price to earnings ratio of 10 and a dividend yield of 2.7%. 99 of the 912 hedge funds surveyed by Insider Monkey for their Q1 2022 portfolio had bought the company’s shares.

Warren Buffett’s Berkshire Hathaway is Bank of America Corporation (NYSE:BAC)’s largest investor. It has a $41 billion stake that comes through one billion shares.

In its first quarter of 2022 investor letter, Aristotle Capital Management mentioned Bank of America Corporation (NYSE:BAC) and stated:

“We first invested in Bank of America during the second quarter of 2013. During our near decade as investors, Bank of America closed the chapter on the legacy issues from acquired Countrywide, including mortgage write-downs and substantial legal charges. In addition, it successfully turned the Merrill Lynch franchise into one of the leading U.S. brokerage and advisory firms. Thanks to what we consider to be a strong management team led by CEO Brian Moynihan, the bank went through years of simplification, improved its cost structure and efficiency ratio, and reduced risk. While we believe Bank of America remains a much-improved market leader, we decided to exit our position and use the proceeds to invest in Brookfield Asset Management.”