Wall Street analysts are maintaining their bullish outlook on US banks (XLF) amid trade wars, lower taxes, and a push for domestic manufacturing. Wall Street is expecting higher earnings throughout 2018, with spreads, trading, and offtake expected to be major drivers.
Among major bankers, JPMorgan Chase (JPM) has garnered 13 “buys” or “strong buys” out of 28 analysts in April 2018. Thirteen analysts have recommended “holds” on JPMorgan, whereas one has given it an “underperform” rating, and one has given it a “sell.” JPMorgan Chase commands a one-year mean price target of $121.78 compared to its current price of $110.30, reflecting average growth.
BoFA and Citi
Among JPMorgan Chase’s peers, Bank of America (BAC) has the most favorable ratings, with 22 out of 30 analysts recommending “buys” or “strong buys” on its stock in April 2018. Seven analysts have given it “hold” ratings, and one analyst has given it a “sell” rating. Bank of America has been given a price target of $34.75 compared to its current price of $29.80.
Citigroup has received “buy” or “strong buy” ratings from 17 out of 29 analysts in April 2018. Citigroup also has ten “hold” ratings and two “underperform” or “sell” ratings.
Wells Fargo (WFC) has weakest ratings among major bankers, with 12 out of 31 analysts calling it a “buy” or a “strong buy,” 15 calling it a “hold,” and four recommending “underperform” ratings on the stock.