Tuesday, July 16, 2013

Bank of America, Wells Fargo shares hit 52-week high

(Updated at 5 p.m. Tuesday, July 16, 2013, with closing prices for Bank of America and Wells Fargo.) 

Shares of Bank of America and Wells Fargo reached 52-week highs Tuesday.

Charlotte-based Bank of America, which is set to release second-quarter earnings Wednesday, saw shares trading for more than $14 Tuesday morning, a level they haven't reached since March 2011. That eclipsed the bank's previous high of $13.99, reached May 31.

Shares hit a 52-week high of $43.45 for San Francisco-based Wells Fargo, which on Friday reported record second-quarter profit of $5.3 billion, or 98 cents a share, higher than analysts’ expectations of 93 cents. Wells Fargo's previous 52-week high was $43.36, hit Monday.

Analysts are expecting Bank of America to report second-quarter earnings of 25 cents a share on revenue of $22.8 billion. That's higher than the second quarter of last year, when the nation's second-largest lender by assets earned $2.1 billion applicable to common shareholders, or 19 cents per share, beating analysts' estimates of 14 cents.

Bank of America shares ended the day up 0.29 percent at $13.92. Wells Fargo shares fell 0.76 percent to $43.02.

The financial performance of federally chartered banks improved last year, according to a report released this spring by federal regulators. The profitability of such institutions high its highest level since 2006, the report said. But, it said, that was helped by banks setting aside less money for bad loans.