Big banks just had a busy earnings week, and a few beat expectations. Two of them were Citi and Bank of America , both of which exceeded forecasts on revenue and other metrics. “There are expectations for greater regulatory oversight given SIVB’s failure, but large banks are well prepared and we do not expect sizeable changes for them. Smaller banks will likely bear the brunt of additional regulatory scrutiny,” said Stephen Biggar, director of financial institutions research at Argus Research. Since the start of the banking crisis, Bank of America is still down less than 1% and more than 8% down in the year to date, while Citi has clawed back some losses, rising more than 4% and up 12% in the year to date. The following table shows some key metrics, including how well capitalized the two banks are, their profitability, and the nature of their deposits. CNBC Pro takes a look at what analysts are saying about the two banks, which are among the largest in the United States. Bank of America: ‘Superior resiliency’ Bank of America continues to demonstrate a “Goliath is Winning” theme, Wells Fargo said in an April 18 note. “Its 1Q23 EPS exceeded consensus by 13% with superior resiliency in its business model, balance sheet, and funding,” wrote Wells Fargo analysts led by Mike Mayo. The bank’s earnings came in at 94 cents per share, above Wall Street’s estimate of 82 cents, according to Refinitiv. Deposits at the bank were down 2%, Wells Fargo said. But it added that the bank has “deposit stickiness” and highlighted the change in its level of deposits, saying, “The bigger picture is that BAC has the lowest cycle-to-date beta (est. 30%) on its $1.3tn of interest bearing deposits.” The issue of uninsured deposits has come under the spotlight since the collapse of Silicon Valley Bank, whose uninsured deposits exceeded the Federal Deposit Insurance Corporation’s guaranteed limit. Wells Fargo also noted that Bank of America’s capital market revenue rose 1% year on year and…
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