How Do JPMorgan Chase’s Valuations Look?
Currently, JPMorgan Chase (JPM) trades ~17% above its book value. This means it trades at a premium to Bank of America (BAC) and Citigroup (C), but it is cheaper than Wells Fargo (WFC).
So far in 2016, JPMorgan Chase (JPM) stock has gained 29%, outperforming its peers.
In 3Q16, JPMorgan Chase had a loan portfolio worth $888 billion. In comparison, Bank of America (BAC) had a loan portfolio of $900 billion, while Wells Fargo (WFC) had a loan portfolio of $957 billion.
The Federal Reserve approved JPMorgan Chase’s (JPM) capital plans for 2016 after it cleared its annual stress test in June.
In a Reuters survey of 32 analysts, six analysts assigned “strong buy” ratings to JPMorgan Chase (JPM) while 12 rated the stock as a “buy.” The stock has received 12 “hold” ratings, one “strong sell” rating, and one “sell” rating.
Trump’s policies are expected to spur economic growth and lead to growing demand for banking products. Higher demand for banking products would reflect in the bank’s expanding top line.
JPMorgan Chase (JPM) expects its 4Q16 trading revenues to grow 15% from 4Q15.
JPMorgan Chase (JPM) stock has gained 19% since November’s election results and has hit all-time highs. This prompted questions on whether the bank should stop its share repurchases.
JPMorgan Chase (JPM), Credit Agricole, and HSBC have been fined 485 million euros, or ~$520 million, for allegedly participating in the manipulation of the price of the Euribor. All three banks denied the allegations.
The S&P 500 Telecom Services Sector Index fell 0.28% on December 8. Ciena and Comtech Telecom were the best and worst performing stocks in the sector.
The S&P 500 Financials Sector Index rose 0.92% on December 8. Assurant (AIZ) and Franklin Resources (BEN) were the top movers in the financials sector.
The yield curve has a significant correlation with economic growth. A steeper yield curve indicates rapid economic growth in the future.
Richard Bernstein said that his firm’s equity portfolio is already overweight with cyclical stocks and smaller capitalization stocks.
According to Richard Bernstein, global economic conditions are improving.
According to Richard Bernstein, global economic conditions are improving. Leading economic indicators around the world are showing strength.
The dismantling of Dodd-Frank regulations for banks should improve their profitabilities, which explains why their stocks have soared since Trump’s win.
The US dollar is weaker on December 8 as the market awaits the ECB’s interest rate decision. It expects the ECB to extend the quantitative easing program.
Barry Sternlicht discussed his opinion about the recent market scenario in an interview with Bloomberg Television at the Robin Hood Investors Conference.
The founder and president of Greenlight Capital, David Einhorn, discussed his investment ideas at the Robin Hood Investors Conference.
Recently, various prominent policy experts, financial leaders, and fund managers shared their views on market and investment ideas at the Robin Hood Investors Conference.