JPMorgan Chase gets a price target increase from Wells Fargo that signals 20% upside
JPMorgan Chase has a rosy outlook ahead, according to Wells Fargo. Wells Fargo analyst Mike Mayo reiterated his overweight rating on shares of JPMorgan Chase and raised his price target to $320 from $300. His updated forecast implies that the stock could rally 20%. "JPMorgan Chase has excelled at both offense and defense over the past decade, in which it has been gaining market share in all major business lines, while optimizing its businesses, showing consistent earnings relative to other global banks, and creating a 'fortress balance sheet' (as defined by its CEO)," Mayo wrote. "JPM should reflect our 'Goliath Is Winning' theme, as greater offense is expected to play with est. ongoing market share gains and improving operating efficiencies." JPM YTD mountain JPM YTD chart Mayo has renewed confidence in JPMorgan Chase's ability to generate new deposits. New branches would eventually aid the bank's earnings, justifying its premium valuation. "It has opened far more new branches than any other banks ( > 900 vs. > 200 for BAC and > 100 for FITB) and more than the rest of our universe combined. We are now more confident about the seasoning of its branches aiding earnings," Mayo added. JPMorgan also remains the "Goliath of Goliaths" as one of the top bank picks across categories such as customers, retail deposits and cards, per Mayo. The bank currently boasts $4.4 trillion in assets and $173 billion in revenue. Shares of JPMorgan have added 11% this year. Analysts are somewhat split on the stock. LSEG data shows that 14 of 26 of those covering the bank rate it a buy or strong buy. The remaining 12 have a hold rating on shares.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Insider
33 minutes ago
- Business Insider
Jamie Dimon calls out bland letters from CEOs — and reveals the 2 he always reads
Jamie Dimon took aim at insipid CEO letters, criticized nonsense regulations, and struck a wary tone on the economy at the Morgan Stanley US Financials Conference on Tuesday. The JPMorgan boss said that "some CEOs, they're pretty good; others are just constant corporate pablum, so I don't read them," according to an AlphaSense transcript of his comments. "I always read Buffett's, Andy Jassy's, and Jeff Bezos," Dimon said, referring to Berkshire Hathaway CEO Warren Buffett and the current and former CEOs of Amazon. During the event, the billionaire banker invoked Bezos' quote that " your margin is my opportunity" to underscore JPMorgan's competitiveness. He also channeled Buffett's love of bargains and willingness to wait for the right opportunity. "I like buying stocks when they're cheap," Dimon said about JPMorgan's buyback strategy. "Basically we're going to be patient," he said about the bank's excess capital, describing it as "just earnings in store and cash waiting to be deployed." That echoes Buffett's view of Berkshire's huge cash hoard as dry powder for future deals. The head of America's biggest bank also spoke colorfully about annual reports, financial regulations, and company culture. On the subject of 10-Ks, he said that "no one reads them anymore because they're so full of crap." In regard to banking regulations, Dimon said "you probably throw the whole goddamn thing out since it doesn't work — 80,000 pages of shit." He added that some regulatory calculations are "through the looking glass" and someone who took time to think about them would say, "What the hell is that?" Dimon also emphasized the value of open communication in the workplace, saying it "gets rid of politics and BS" when meetings aren't just "run for the boss." The Wall Street heavyweight issued a cautious economic outlook, saying he expected employment to fall and inflation to rise a "little bit" as the Trump administration's import taxes and immigration crackdown take effect. "The tariffs are just hitting," Dimon said. "It may just make the soft landing a little bit softer" without making " the ship go down."
Wall Street Journal
2 hours ago
- Wall Street Journal
How the U.S. Government Borrows to Fund Its Massive Budget Shortfall
The U.S. government's outsize debt load is the talk of Wall Street. Some of the biggest names in finance are speaking in increasingly alarmed tones about an issue that has bothered investors for decades. Ray Dalio, founder of the hedge fund Bridgewater Associates, has warned of a debt crisis akin to an 'economic heart attack.' Jamie Dimon, chief executive of JPMorgan Chase, is predicting a breakdown in financial markets.
Yahoo
3 hours ago
- Yahoo
JPMorgan lifts yuan forecast on easing tariff risks, de-dollarisation trend
LONDON (Reuters) -JPMorgan lifted its end-of-year forecast for China's onshore yuan spot price on Wednesday, citing moderating risks around the U.S. trade war and a broader global theme of so-called de-dollarisation. The U.S. investment bank said it was revising its dollar/yuan target to 7.15 yuan per dollar from 7.30, adding that it also expected a "gentle downtrend" to 7.10 by the middle of next year. The dollar was steady against the yuan at 7.1875 in European trading after U.S. and Chinese negotiators said they had agreed on a framework to get their countries' trade truce back on track following two days of talks in London. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
