Jim Cramer Believes “Bank of America’s Way Too Cheap, It Should Be Bought”

Bank of America Corporation (NYSE:BAC) was among the stocks on Jim Cramer’s Mad Money radar as he discussed the recent sell-off in AI-related stocks. During the episode, a caller asked if the stock is a buy or a sell. Cramer replied:

BofA is just a plain out buy. The stock, first of all, is down 4% for the year. That’s ridiculous in itself. Second, it sells at 12 times earnings, yet it’s incredibly well run. This is an example of why I say this market’s not dangerous. Bank of America’s way too cheap. It should be bought.

A technical stock market chart. Photo by Energepic from Pexels

Bank of America Corporation (NYSE:BAC) provides banking, investment, and financial services, including lending, wealth management, trading, and advisory solutions. When a caller asked about the stock on March 12, Cramer said:

Okay, I think Bank of America is an excellent bank. I think that the financials right now have taken such a severe decline. Bank of America at $47. Could it go down to $40? Maybe. All the financials are under pressure in part because of Iran, but also because of private credit. I would stick with Bank of America. That’s the kind of company at 10 times earnings that I think is going to give you a long-term good return. Think longer term. You must do that.

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