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Compare Stocks › BAC vs TGT

Bank of America Corporation (BAC) vs Target Corporation (TGT)

BAC
Bank of America Corporation
$47.01
VS
TGT
Target Corporation
$114.47

Rewards

BAC
  • ★Each dollar of retained earnings has created $2.37 of market value — management is an exceptional capital allocator.
  • ★PEG ratio of 0.58 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.
TGT
  • ★Target Corporation has maintained ROIC above 10% for 4 consecutive years, suggesting solid business economics.
  • ★Target Corporation scores 80/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.
  • ★Return on equity has consistently exceeded 20% over 4 years, indicating efficient use of shareholder capital.

Risks

BAC
  • ⚠Gross margin of 0.0% is low, suggesting a competitive or commodity-like market with limited pricing power.
  • ⚠Bank of America Corporation scores only 20/100 on the Economic Moat Score, suggesting limited durable competitive advantages.
  • ⚠Altman Z-Score of 0.22 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.
TGT

    Key Valuation Metrics

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    BAC
    TGT
    Valuation
    N/A
    Free Cash Flow
    $2.59B
    N/A
    FCF Yield
    5.00%
    12.34
    Trailing P/E
    14.08
    9.49
    Forward P/E
    13.45
    Quality & Moat
    4.61%
    ROIC
    11.15%
    N/A
    ROE
    22.92%
    0.00%
    Gross Margin
    27.93%
    0.58
    PEG Ratio
    N/A
    Balance Sheet Safety
    N/A
    Debt / Equity
    1.26
    N/A
    Interest Coverage
    N/A
    N/A
    Net Debt / EBITDA
    1.83
    2.38%
    Dividend Yield
    3.98%
    BAC: 2Ties: 1TGT: 3
    BACTGT

    Historical Fundamentals

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    BAC

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    TGT

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    $1 Retained Earnings Test

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    BAC
    $2.37
    created per $1 retained over 3 years
    Exceptional Value Creator
    Σ Retained
    $55.63B
    Δ Market Cap
    +$131.83B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
    TGT
    $-2.36
    created per $1 retained over 3 years
    Market Cap Declined
    Σ Retained
    $5.82B
    Δ Market Cap
    $-13.73B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Discounted Cash Flow (DCF) Analysis

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    BAC
    64.3% Margin of Safety
    Price is 64.3% below estimated fair value
    Current Price: $47.01
    Fair Value: $131.82
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued
    TGT
    12.2% Margin of Safety
    Price is 12.2% below estimated fair value
    Current Price: $114.47
    Fair Value: $130.31
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued

    Reverse DCF — Market-Implied Growth

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    BAC

    Requires positive FCF to compute implied growth rate.

    TGT

    What growth rate is the market pricing in at $114?

    +6.3%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +11.1%

    The market implies +6.3% Owner Earnings growth, below historical trends — potential opportunity.

    Standard FCF implies a more demanding +11.1%, reflecting heavy growth investment expected to generate future returns.

    Economic Moat Score

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    BAC
    20/100
    No Moat
    70+ Wide · 40-69 Narrow · <40 None

    No durable moat detected, though revenue predictability shows some competitive positioning. The business lacks consistent evidence of sustainable advantages.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
    TGT
    80/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat with strength across all dimensions. ROIC Consistency is the standout factor.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

    Forensic Accounting

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    BAC
    -2.31
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
    TGT
    -2.33
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Ownership Breakdown

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    BAC

    No ownership data available.

    TGT
    Insiders 0.3%Institutions 86.1%Retail & Other 13.6%
    No. of Institutional Holders2,240
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

    High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

    Insider Buying Activity

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    BAC
    0
    Buys (3M)
    0
    Buys (12M)
    No open market insider purchases found.
    Open market purchases · includes direct & indirect ownership · excludes option exercises
    TGT
    0
    Buys (3M)
    0
    Buys (12M)
    No open market insider purchases found.
    Open market purchases · includes direct & indirect ownership · excludes option exercises

    Open market purchases · includes direct & indirect ownership · excludes option exercises.

    Insider Selling Activity

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    BAC
    0
    Sells (3M)
    0
    Sells (12M)
    No open market insider sales found.
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
    TGT
    0
    Sells (3M)
    1
    Sells (12M)
    Total value (12M): $206,245
    LIEGEL MATTHEW A
    Officer
    $206,245
    @ $100.90 · 2025-06-10
    LIEGEL MATTHEW A
    Officer
    $32,580
    @ $113.52 · 2025-03-07
    GOMEZ RICHARD H
    Officer
    $997,715
    @ $157.17 · 2024-09-27
    LIEGEL MATTHEW A
    Officer
    $153,130
    @ $153.13 · 2024-08-30
    LIU DON H
    Officer
    $1.00M
    @ $160.00 · 2024-08-22
    HENNINGTON CHRISTINA
    Officer
    $786,048
    @ $170.88 · 2024-03-21
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

    🎭 Mr. Market's Mood

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    BAC
    No sentiment data available for this stock.
    TGT
    FearGreed
    😐Neutral(57/100)

    "Market is pricing this stock without strong emotion in either direction"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    ⚖️ Buffett Signal

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    BAC
    ⚪Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Neutral (50)
    TGT
    ⚪Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Neutral (57)
    View BAC Full AnalysisView TGT Full Analysis