BofA upgraded at Nomura; Jefferies still bullish

• While the potential for even higher capital requirements hang over the big banks, the ROE/valuation impact should be lower for Bank of America (BAC +1.8%) than for peers, says Nomura's Steven Chubak, upgrading to Buy from Neutral.
• Last week's decision to exclude Advanced models from the CCAR calculations was a big win, says Chubak, as BAC's advanced risk-weighted-assets meaningfully exceed Standardized.
• Previously: BofA approved to use own calculations for capital (Sept. 3)
• Jefferies reiterates its Buy rating and $21 price target after meeting with CEO Brian Moynihan. noting the continued focus on managing core expenses.
• "The earnings trajectory has improved and should continue to, if the macro delivers and rates provide the kicker," says analyst Ken Usdin. "We like BAC due to its path to improved profitability, demonstrated cost control, and cleaner capital return story."