Should investors consider buying BAC ahead of the next dividend announcement?

**Investors may consider buying BAC ahead of the next dividend announcement**, given the following factors:

1. **Stable Dividend and Dividend Yield**: Bank of America has a history of paying dividends, with a current dividend yield of 2.18% as of July 1, 2025. This is above the industry average and provides an attractive income stream for investors.

|code|Ticker|Name|Date|Payout Ratio|Dividend Yield (TTM)|market_code|
|---|---|---|---|---|---|---|
|BAC|BAC.N|Bank Of America|20240701|4.553372066086882|2.434436390902275|169|
|BAC|BAC.N|Bank Of America|20240702|4.553372066086882|2.379716589298803|169|
|BAC|BAC.N|Bank Of America|20240703|4.553372066086882|2.3814621026894867|169|
|BAC|BAC.N|Bank Of America|20240704|4.553372066086882||169|
|BAC|BAC.N|Bank Of America|20240705|4.553372066086882|2.4103390249938137|169|
|BAC|BAC.N|Bank Of America|20240706|4.553372066086882||169|
|BAC|BAC.N|Bank Of America|20240707|4.553372066086882||169|
|BAC|BAC.N|Bank Of America|20240708|4.553372066086882|2.3978778926637125|169|
|BAC|BAC.N|Bank Of America|20240709|4.553372066086882|2.3515644616127473|169|
|BAC|BAC.N|Bank Of America|20240710|4.553372066086882|2.33353617632966|169|

2. **Consistent Dividend Growth**: The bank has increased its dividend four times over the past five years, with an average annual increase of 8.84%. This indicates a strong commitment to returning value to shareholders.
3. **Positive Analyst Sentiment**: Analysts have a positive outlook on Bank of America, with a 1-year target estimate of $50.37, suggesting further potential upside from its current price. This bullish sentiment could lead to higher stock prices, making the upcoming dividend more attractive.
4. **Fundamental Strength**: Bank of America has a P/E ratio of 14.19 and a forward dividend yield of 2.21%, indicating a stable profile for a major financial institution. Its solid financials and resilience in the market make it a reliable investment.
5. **Recent Performance**: The stock has been trading higher and appears to be breaking out, which can be a bullish dynamic suggesting the stock will continue to trade higher. This could be a sign of a new uptrend for Bank of America.

However, investors should also consider their investment horizon and risk tolerance. Dividend investments are generally suitable for long-term investors who prioritize consistent cash flow. The ex-dividend date is an important factor, as buying the stock too close to the ex-dividend date may not provide a sufficient window to capture the dividend. In the case of BAC, the ex-dividend date for the last dividend was June 6, 2025, which is in the past. The next ex-dividend date will be announced closer to the dividend payment date, which is typically a few weeks after the ex-dividend date.