Bloomberg Surveillance · Thursday, September 17, 2026
Bank of America's equity strategy team favors large-cap value stocks, viewing them as an under-owned and less exciting, yet potentially rewarding, segment of the market. This includes sectors like financials and energy, which are characterized by capital discipline and a de-leveraged balance sheet.
“One of my favorite areas, and I think where I would be sort of shifting allocations aggressively, and we've liked this for a few years, is large cap value. I think that's one area of the market that is under-owned, boring, nobody wants to talk about it.”
“So large value we think of as financials, energy and those are sectors that I think look pretty good. Large Financials and energy look clean, capital discipline, like kind of the opposite of tech. They've de-levered rather than levered up. But you're also getting some of the bombed out tech companies floating into the value index.”