John Curtis, the U.S. representative for Utah’s 3rd congressional district, sold two bank stocks during the current banking turmoil in mid-March 2023. As per his latest regulatory disclosure on Capitol Trades, Congressman Curtis sold shares of Bank of America (NYSE:BAC) and the beleaguered lender First Republic Bank (NYSE:FRC) on March 16. Both his trades were in the size range of $1,000 to $15,000.
Using TipRanks’ data, let’s find out what’s on the horizon for BAC and FRC stocks, along with how the stocks have performed since Curtis sold them. Although the banking crisis has cooled off over the past two weeks, it is highly unlikely that the politician could have made any profits on the sale of these stocks.
What is the Price Target of BAC Stock?
Banking conglomerate Bank of America provides both banking and non-banking services. BAC stock has lost 2.3% since the day Curtis sold the shares. Moreover, BAC stock has dropped nearly 15% year to date, owing to the banking crisis.
Based on 7 Buys, six Holds, and two Sell ratings, BAC stock has a Moderate Buy consensus rating on TipRanks. Also, the average Bank of America price target of $38.80 implies 37.1% upside potential from current levels.
Meanwhile, top insiders have a Very Negative Signal on BAC stock as 50 corporate insiders sold BAC stock worth $71.1 million in the past three months. On the contrary, retail investors have loaded up the stock massively during the last 30 days, increasing their BAC holdings by 10.3%, generating a Very Positive Signal.
Having said that, hedge funds are Neutral on the stock. During the last quarter, 47 hedge funds decreased their BAC holdings by 336,900 shares. Based on ten technical and TipRanks’ unique parameters, BAC stock has a Neutral Smart Score of five, implying that the stock will perform in line with market expectations.
Is FRC Stock a Buy, Hold, or Sell?
First Republic Bank has been in the spotlight constantly during the current banking stress. FRC witnessed a deposit flight and was compelled to take on a $30 billion infusion from ten large U.S. banks to shore up its liquidity. The bank also has government support in case of any further deterioration of its financial health.
Interestingly, both retail investors and hedge funds have a Very Positive Signal on FRC stock. TipRanks stock investors have increased exposure to FRC stock by a massive 783.6% in the last 30 days. Also, 13 hedge funds have bought 2.1 million shares of FRC in the last quarter.
Meanwhile, analysts have a Moderate Buy consensus rating on First Republic Bank based on seven Buys, ten Holds, and One Sell rating. The average First Republic Bank price forecast of $130.50 implies 853.3% upside potential. A combination of these factors gives the FRC stock an Outperform Smart Score of Nine.
Ending Thoughts
Congressman Curtis has been widely followed for his stock trades, as the politician is known for his knack of invariably pulling a profit on them. Investors may choose to follow his stock picks to make informed investment decisions. At the same time, one can use TipRanks’ Experts Center tool to form investment decisions with ease.
