Carter Bankshares (CARE) Soars 2.56% in Four Days, Boosted by Bank of America's 31.4% Stake Increase

Carter Bankshares (CARE) shares rose 0.78% today, marking the fourth consecutive day of gains, with a total increase of 2.56% over the past four days. The stock price reached its highest level since March 2025, with an intraday gain of 1.20%.

The strategy of buying CARE shares after they reached a recent high and holding for 1 week yielded moderate returns over the past 5 years, with a 4.77% annualized gain. This result suggests that the strategy captured some short-term volatility while missing out on longer-term gains.

Bank of America Corp DE increased its holdings in Carter Bankshares, Inc. by 31.4% during the fourth quarter. This significant increase in holdings by a major institutional investor suggests a strong vote of confidence in the company's future prospects, which could be driving the recent upward trend in the stock price.

Carter Bankshares has a consensus target price of $21.50, suggesting a potential upside of 28.90%. This target price, set by analysts, indicates that the stock is currently undervalued and has room for growth, which could be attracting investors and contributing to the stock's recent gains.

Carter Bank completed the purchase of two First Reliance Bank branches in North Carolina. This strategic acquisition expands Carter Bank's footprint in the region and enhances its market presence, which could lead to increased revenue and profitability in the future. The acquisition is likely to be viewed positively by investors, as it demonstrates the company's commitment to growth and expansion.