Why I'm in No Hurry to Buy Bank of America Stock
Most people who live in the United States will know the name Bank of America (NYSE: BAC). That, however, isn't a good reason to buy the stock and, in fact, its well-known brand might blind you to some of the inherent problems with owning it today. Here are a few reasons why you might find other banks more interesting than Bank of America right now.
While those who use Bank of America's services have little to worry about, investors in the stock shouldn't enjoy the same confidence. Most notably, for dividend investors, is the fact that Bank of America was forced to cut its dividend during the Great Recession. To be fair, there were very real concerns at the time that the financial structure of the entire world might implode. And Bank of America wasn't alone in cutting its dividend by any stretch of the imagination. However, there were some banks that managed through this difficult period without a dividend cut.
Image source: Getty Images.
Source Fool.com
