BofA talks mobile, cost cuts, legal reserves on earnings call

"People effectively carry a branch in their pocket," says Bank of America (BAC) CEO Brian Moynihan on the earnings call (live now on Seeking Alpha), noting mobile banking customers grew 19% Y/Y to 15M and 10% of deposits now take place on mobile devices. Consumer banking costs fell 4% from last year, he notes. CFO Bruce Thompson: “We continue to reduce production staffing levels in the quarter consistent with the volumes.”

Inquiring minds want to know more about the $2.4B boost to litigation reserves, and management is fairly tight-lipped, saying they're about addressing previously disclosed mortgage-related issues. Ambac (AMBC) shareholders looking for movement in their case against BofA may be disappointed as Thompson says the reserve increase isn't about a pending settlement with the monolines.

Presentation slides

Earlier BofA earnings coverage

Just ahead of the open, shares -1.6%.

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Comments (7)
  • Hello Again 83
    , contributor
    Comments (700) | Send Message
    The stock has tripled since 08 and beat on earnings and revenue again. Litigation expenses are mostly in the rear view mirror and that is good to see. Even the analyst on the CNBC video has it going over 20 bucks a share buy end of year or early next year. Long term it is fine.
    16 Apr 2014, 09:36 AM Reply Like
  • Playing the Ponzi
    , contributor
    Comments (143) | Send Message
    BAC is one of my favorite shorts. A rising bearish wedge since '11 has shown the market coming to an increasingly universal agreement on a price well above the 3 year mean average. Such agreements on price are usually wrong. And technical support is now broken. Follow-through to the downside usually ensues.
    16 Apr 2014, 09:59 AM Reply Like
  • DeepValueLover
    , contributor
    Comments (11311) | Send Message
    (AMBC) settlement will come by the end of the year.
    16 Apr 2014, 10:35 AM Reply Like
  • DaGimp
    , contributor
    Comments (4) | Send Message
    Should have sold when it was $17
    16 Apr 2014, 11:01 AM Reply Like
  • Hello Again 83
    , contributor
    Comments (700) | Send Message
    No should have bought in 08 when it was 5 bucks like the rest of us.
    16 Apr 2014, 12:35 PM Reply Like
  • tonyv1
    , contributor
    Comments (217) | Send Message
    Tripled since 2009 perhaps, 2008 finished not much lower than today's price. It is tough to predict with any degree of accuracy, higher stock prices for BAC until earnings are more consistent. The legal issues have to calm down sometime, but when? The Cwide portfolio still plagues them.
    16 Apr 2014, 11:28 AM Reply Like
  • Hello Again 83
    , contributor
    Comments (700) | Send Message
    See what Cramer said about Bank of America this morning. Click Link
    16 Apr 2014, 01:17 PM Reply Like
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