WallStSmart

Bank of America Corp (BAC)vs1st Source Corporation (SRCE)

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Smart Verdict

WallStSmart Research — data-driven comparison

Bank of America Corp generates 25315% more annual revenue ($114.87B vs $451.99M). SRCE leads profitability with a 39.4% profit margin vs 28.1%. BAC appears more attractively valued with a PEG of 0.91. BAC earns a higher WallStSmart Score of 72/100 (B).

BAC

Strong Buy

72

out of 100

Grade: B

Growth: 4.7Profit: 7.5Value: 7.7Quality: 4.0
Piotroski: 6/9Altman Z: -0.29

SRCE

Strong Buy

71

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 6.3Quality: 5.5
Piotroski: 7/9Altman Z: 0.59

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BAC6 strengths · Avg: 9.5/10
Market CapQuality
$345.08B10/10

Mega-cap, among the largest globally

P/E RatioValuation
11.9x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
31.3%10/10

Strong operational efficiency at 31.3%

Profit MarginProfitability
28.1%9/10

Keeps 28 of every $100 in revenue as profit

PEG RatioValuation
0.918/10

Growing faster than its price suggests

SRCE5 strengths · Avg: 9.0/10
Profit MarginProfitability
39.4%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
52.3%10/10

Strong operational efficiency at 52.3%

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

P/E RatioValuation
12.0x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Areas to Watch

BAC4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.283/10

Elevated debt levels

EPS GrowthGrowth
-14.3%2/10

Earnings declined 14.3%

Free Cash FlowQuality
$-6.50B2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-0.292/10

Distress zone — elevated risk

SRCE1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
0.592/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : BAC

The strongest argument for BAC centers on Market Cap, P/E Ratio, Price/Book. Profitability is solid with margins at 28.1% and operating margin at 31.3%. PEG of 0.91 suggests the stock is reasonably priced for its growth.

Bull Case : SRCE

The strongest argument for SRCE centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 39.4% and operating margin at 52.3%. PEG of 1.37 suggests the stock is reasonably priced for its growth.

Bear Case : BAC

The primary concerns for BAC are Debt/Equity, EPS Growth, Free Cash Flow.

Bear Case : SRCE

The primary concerns for SRCE are Altman Z-Score.

Key Dynamics to Monitor

BAC carries more volatility with a beta of 1.21 — expect wider price swings.

SRCE is growing revenue faster at 8.8% — sustainability is the question.

SRCE generates stronger free cash flow (69M), providing more financial flexibility.

Monitor BANKS - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BAC scores higher overall (72/100 vs 71/100), backed by strong 28.1% margins. Both earn "Strong Buy" and "Strong 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.

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1st Source Corporation

FINANCIAL SERVICES · BANKS - REGIONAL · USA

1st Source Corporation is the holding company of 1st Source Bank providing commercial and consumer banking services, trust and wealth advisory services, and insurance to individual and commercial clients. The company is headquartered in South Bend, Indiana.

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