Keefe Bruyette views JPMorgan acquisition as attractive longer term

Keefe Bruyette analyst David Konrad views the acquisition of a substantial majority of First Republic Bank’s (FRC) assets and certain liabilities out of receivership as attractive for JPMorgan (JPM) longer term given the "attractive franchise and ability to maintain relationships" under the JP Morgan brand. That said, the economics initially are not as attractive near term, with estimated 1% accretion to tangible book value and earnings, the analyst tells investors in a research note. It keeps a Market Perform rating on JPMorgan with a $155 price target.