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Bank of America downgraded to Neutral on valuation at Baird

Baird analyst David George downgraded Bank of America (BAC) to Neutral from Outperform with an unchanged price target of $52. The firm does not see attractive risk/reward profiles in the U.S. mega cap banking group. Baird remains “huge fans” of the Bank of America franchise, saying the bank should continue to experience tailwinds from improving net interest margin along with a favorable capital markets backdrop. However, the stock is largely reflecting this at current levels, the analyst tells investors in a research note.

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