Bank of America’s (BAC, $29.07) minimum wage will rise to $20 by 2021
Starting May 1, 2019, North Carolina-based Bank of America is raising its hourly minimum wage for branch tellers and other such entry level position holders to $17. This will further increase incrementally over the next two years and is targeted to reach $20 an hour by 2021. The bank has also zeroed-in on health-care cost increases for lower-paid employees.
This step came only a day before, when the bank’s CEO along with the CEOs of other five banks including J.P Morgan Chase (JPM) were scheduled to testify before the Democrat-led House Financial Services Committee in Washington. Low wages is an pressing issue for the 2020 election and this step could be timely and strategic to diffuse any criticism in the near future.
The issue is indeed alarming, owing to the gap between high salaried employees and the low waged ones like bank tellers. In fact, about one-third of bank tellers rely on some form of public assistance like Medicaid to food stamps. In 2017, Bank of America raised its minimum wage from $13.50 to $15 an hour.
The step is an optimistic sign that wages are finally rising. Nearly after a decade of the Great Recession, companies like Amazon and Walmart had already raised the minimum wages for their employees ahead of the federal rules. A bill to raise the federal minimum wage from $7.25 an hour to $15 an hour is already doing rounds in the Congress.
BAC's Indicator enters downward trend
The Aroon Indicator for BAC entered a downward trend on February 06, 2026. Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options. A.I.dvisor looked at 143 similar instances where the Aroon Indicator formed such a pattern. In of the 143 cases the stock moved lower. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for BAC moved out of overbought territory on February 09, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 45 similar instances where the indicator moved out of overbought territory. In of the 45 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on February 12, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on BAC as a result. In of 80 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for BAC turned negative on February 13, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 46 similar instances when the indicator turned negative. In of the 46 cases the stock turned lower in the days that followed. This puts the odds of success at .
BAC moved below its 50-day moving average on February 11, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for BAC crossed bearishly below the 50-day moving average on February 19, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In of 11 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BAC declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
BAC broke above its upper Bollinger Band on February 06, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Bullish Trend Analysis
The Stochastic Oscillator is in the oversold zone. Keep an eye out for a move up in the foreseeable future.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BAC advanced for three days, in of 341 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 29, placing this stock slightly worse than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. BAC’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.259) is normal, around the industry mean (1.409). P/E Ratio (12.766) is within average values for comparable stocks, (13.036). Projected Growth (PEG Ratio) (0.915) is also within normal values, averaging (4.118). Dividend Yield (0.023) settles around the average of (0.040) among similar stocks. P/S Ratio (3.304) is also within normal values, averaging (3.617).
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a major bank
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