WallStSmart

Bank of America Corp (BAC)vsNew Mountain Finance Corporation (NMFC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Bank of America Corp generates 33405% more annual revenue ($109.59B vs $327.08M). BAC leads profitability with a 29.0% profit margin vs 5.0%. BAC appears more attractively valued with a PEG of 0.95. BAC earns a higher WallStSmart Score of 82/100 (A-).

BAC

Exceptional Buy

82

out of 100

Grade: A-

Growth: 8.0Profit: 7.5Value: 7.0Quality: 3.5
Piotroski: 5/9Altman Z: -0.27

NMFC

Buy

51

out of 100

Grade: C-

Growth: 2.7Profit: 6.0Value: 5.3Quality: 5.0

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BAC6 strengths · Avg: 9.5/10
Market CapQuality
$379.60B10/10

Mega-cap, among the largest globally

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
36.0%10/10

Strong operational efficiency at 36.0%

Free Cash FlowQuality
$41.77B10/10

Generating 41.8B in free cash flow

Profit MarginProfitability
29.0%9/10

Keeps 29 of every $100 in revenue as profit

PEG RatioValuation
0.958/10

Growing faster than its price suggests

NMFC2 strengths · Avg: 10.0/10
Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Operating MarginProfitability
80.8%10/10

Strong operational efficiency at 80.8%

Areas to Watch

BAC2 concerns · Avg: 2.5/10
Debt/EquityHealth
1.213/10

Elevated debt levels

Altman Z-ScoreHealth
-0.272/10

Distress zone — elevated risk

NMFC4 concerns · Avg: 2.8/10
Market CapQuality
$794.35M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.3%3/10

ROE of 1.3% — below average capital efficiency

Profit MarginProfitability
5.0%3/10

5.0% margin — thin

Revenue GrowthGrowth
-15.1%2/10

Revenue declined 15.1%

Comparative Analysis Report

WallStSmart Research

Bull Case : BAC

The strongest argument for BAC centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 29.0% and operating margin at 36.0%. Revenue growth of 11.8% demonstrates continued momentum.

Bull Case : NMFC

The strongest argument for NMFC centers on Price/Book, Operating Margin. PEG of 1.34 suggests the stock is reasonably priced for its growth.

Bear Case : BAC

The primary concerns for BAC are Debt/Equity, Altman Z-Score.

Bear Case : NMFC

The primary concerns for NMFC are Market Cap, Return on Equity, Profit Margin.

Key Dynamics to Monitor

BAC profiles as a mature stock while NMFC is a value play — different risk/reward profiles.

BAC carries more volatility with a beta of 1.24 — expect wider price swings.

BAC is growing revenue faster at 11.8% — sustainability is the question.

BAC generates stronger free cash flow (41.8B), providing more financial flexibility.

Bottom Line

BAC scores higher overall (82/100 vs 51/100), backed by strong 29.0% margins and 11.8% revenue growth. Both earn "Exceptional Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Bank of America Corp

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

The Bank of America Corporation is an American multinational investment bank and financial services holding company headquartered in Charlotte, North Carolina. Founded in San Francisco, Bank of America was formed through NationsBank's acquisition of BankAmerica in 1998. It is the second largest banking institution in the United States, after JPMorgan Chase, and the eighth largest bank in the world. Bank of America is one of the Big Four banking institutions of the United States. It services approximately 10 percent of all American bank deposits, in direct competition with JPMorgan Chase, Citigroup and Wells Fargo. Its primary financial services revolve around commercial banking, wealth management, and investment banking.

Visit Website →

New Mountain Finance Corporation

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

New Mountain Finance Corporation (NMFC) is a prominent business development company focused on delivering customized debt and equity financing solutions to middle-market enterprises across diverse sectors. Backed by New Mountain Capital, the firm employs a disciplined investment strategy that prioritizes capital preservation and sustainable income generation, aiming to provide compelling risk-adjusted returns. With a commitment to informed decision-making and continuous operational improvement, NMFC seeks to enhance shareholder value while fostering growth and resilience in its investment portfolio. Its experienced management team and strategic focus position NMFC as a key player in the marketplace, dedicated to navigating the complexities of the middle-market landscape.

Want to dig deeper into these stocks?