Bank Total Assets vs Total Current Assets Analysis
| BOFA Stock | 24.88 0.12 0.48% |
Bank of America financial indicator trend analysis is way more than just evaluating Bank of America prevailing accounting drivers to predict future trends. We encourage investors to analyze account correlations over time for multiple indicators to determine whether Bank of America is a good investment. Please check the relationship between Bank of America Total Assets and its Total Current Assets accounts. Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Bank of America. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. For information on how to trade Bank Stock refer to our How to Trade Bank Stock guide.
Total Assets vs Total Current Assets
Total Assets vs Total Current Assets Correlation Analysis
The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of Bank of America Total Assets account and Total Current Assets. At this time, the significance of the direction appears to have almost identical trend.
The correlation between Bank of America's Total Assets and Total Current Assets is 0.95. Overlapping area represents the amount of variation of Total Assets that can explain the historical movement of Total Current Assets in the same time period over historical financial statements of Bank of America, assuming nothing else is changed. The correlation between historical values of Bank of America's Total Assets and Total Current Assets is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Total Assets of Bank of America are associated (or correlated) with its Total Current Assets. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Total Current Assets has no effect on the direction of Total Assets i.e., Bank of America's Total Assets and Total Current Assets go up and down completely randomly.
Correlation Coefficient | 0.95 |
| Relationship Direction | Positive |
| Relationship Strength | Very Strong |
Total Assets
Total assets refers to the total amount of Bank of America assets owned. Assets are items that have some economic value and are expended over time to create a benefit for the owner. These assets are usually recorded in Bank of America books under different categories such as cash, marketable securities, accounts receivable,prepaid expenses, inventory, fixed assets, intangible assets, other assets, marketable securities, accounts receivable, prepaid expenses and others. The total value of all owned resources that are expected to provide future economic benefits to the business, including cash, investments, accounts receivable, inventory, property, plant, equipment, and intangible assets.Total Current Assets
The total value of all assets that are expected to be converted into cash within one year or during the normal operating cycle.Most indicators from Bank of America's fundamental ratios are interrelated and interconnected. However, analyzing fundamental ratios indicators one by one will only give a small insight into Bank of America current financial condition. On the other hand, looking into the entire matrix of fundamental ratios indicators, and analyzing their relationships over time can provide a more complete picture of the company financial strength now and in the future. Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Bank of America. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. For information on how to trade Bank Stock refer to our How to Trade Bank Stock guide.At present, Bank of America's Selling General Administrative is projected to increase significantly based on the last few years of reporting.
| 2021 | 2022 | 2023 | 2024 (projected) | Net Interest Income | 42.9B | 52.5B | 56.9B | 53.8B | Tax Provision | 2.0B | 3.4B | 1.8B | 2.2B |
Bank of America fundamental ratios Correlations
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Bank of America Account Relationship Matchups
High Positive Relationship
High Negative Relationship
Pair Trading with Bank of America
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Bank of America position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Bank of America will appreciate offsetting losses from the drop in the long position's value.Moving together with Bank Stock
| 0.91 | RY-PS | Royal Bank Earnings Call This Week | PairCorr |
| 0.84 | RY | Royal Bank Earnings Call This Week | PairCorr |
| 0.89 | RY-PM | Royal Bank Earnings Call This Week | PairCorr |
| 0.83 | TD-PFI | Toronto Dominion Bank Earnings Call This Week | PairCorr |
Moving against Bank Stock
| 0.62 | TD | Toronto Dominion Bank Earnings Call This Week | PairCorr |
The ability to find closely correlated positions to Bank of America could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Bank of America when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Bank of America - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Bank of America to buy it.
The correlation of Bank of America is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Bank of America moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Bank of America moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Bank of America can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Bank of America. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. For information on how to trade Bank Stock refer to our How to Trade Bank Stock guide.You can also try the Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.