Banking giant, JPMorgan Chase (NYSE: JPM) gained in pre-market trading at the time of publishing on Friday after the bank reported adjusted earnings of $4.37 per share in the fiscal second quarter, beating consensus estimates of $3.97 per share.
Protect Your Portfolio Against Market Uncertainty
- Discover companies with rock-solid fundamentals in TipRanks' Smart Value Newsletter.
- Receive undervalued stocks, resilient to market uncertainty, delivered straight to your inbox.
The bank’s managed revenues in Q2 came in at $42.4 billion, up by 34% year-over-year and above Street estimates of $38.66 billion.
Jamie Dimon, Chairman, and CEO, commented on the financial results: “We reported another
quarter of strong results, generating a net income of $13.3 billion and an ROTCE [return on the capital employed] of 23% after excluding a net after-tax gain of $1.8 billion relating to the First Republic transaction, as well as discretionary after-tax investment securities losses of $0.7 billion.”
While JP Morgan’s all business lines saw strong growth in the second quarter, its investment banking fees were down by 6% year-over-year even as the Investment Banking division has gained market share year-to-date. The bank’s assets and wealth management division saw record long-term inflows of $61 billion.
Analysts are bullish about JPM stock with a Strong Buy consensus rating based on 17 Buys and four Holds.