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JPMorgan's (JPM) Q4 Earnings Beat Estimates, Revenues Up Y/Y
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Have you been eager to see how JPMorgan (JPM - Free Report) performed in Q4 in comparison with the market expectations? Let’s quickly scan through the key facts from this New York-based major global bank’s earnings release this morning:
An Earnings Beat
JPMorgan came out with adjusted earnings of $3.07 per share, which easily beat the Zacks Consensus Estimate of $2.72.
Results excluded credit reserve releases. Including these, earnings per share amounted to $3.79.
Improved non-interest income and reserve releases supported the results, while lower interest income hurt.
How Was the Estimate Revision Trend?
You should note that the earnings estimate revisions for JPMorgan depicted optimistic stance prior to the earnings release. The Zacks Consensus Estimate moved 4.6% north over the past seven days.
Also, JPMorgan have an impressive earnings surprise history. Before posting the earnings beat in Q4, the company delivered positive surprises in three of trailing four quarters, as shown in the chart below:
Nonetheless, the company has a negative earnings surprise of 4.02% in the trailing four quarters.
Revenue Lower Than Expected
JPMorgan recorded revenues of $29.22 billion, which marginally lagged the Zacks Consensus Estimate of $29.28 billion. However, it compared favorably with the year-ago number of $28.29 billion.
Key Q4 Statistics:
Investment banking fees were up 40% year over year
Fixed Income Markets revenue grew 15% year over year
Equity Markets revenues increased 32% year over year
Mortgage fees and related income jumped 62% from the prior-year quarter
Net interest income declined 6% year over year
Provisions for credit losses was a net benefit of $1.9 billion, mainly driven by reserve releases
Total loans up 2% year over year
Basel III common equity Tier 1 ratio of 13.1%, as of Dec 31, 2020
What Zacks Rank Says
The estimate revisions that we discussed earlier have driven a Zacks Rank #1 (Strong Buy) for JPMorgan. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look favorable, it all depends on what sense the just-released report makes to the analysts.
Check back later for our full write up on this JPMorgan earnings report!
Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
You know this company from its past glory days, but few would expect that it’s poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.
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JPMorgan's (JPM) Q4 Earnings Beat Estimates, Revenues Up Y/Y
Have you been eager to see how JPMorgan (JPM - Free Report) performed in Q4 in comparison with the market expectations? Let’s quickly scan through the key facts from this New York-based major global bank’s earnings release this morning:
An Earnings Beat
JPMorgan came out with adjusted earnings of $3.07 per share, which easily beat the Zacks Consensus Estimate of $2.72.
Results excluded credit reserve releases. Including these, earnings per share amounted to $3.79.
Improved non-interest income and reserve releases supported the results, while lower interest income hurt.
How Was the Estimate Revision Trend?
You should note that the earnings estimate revisions for JPMorgan depicted optimistic stance prior to the earnings release. The Zacks Consensus Estimate moved 4.6% north over the past seven days.
Also, JPMorgan have an impressive earnings surprise history. Before posting the earnings beat in Q4, the company delivered positive surprises in three of trailing four quarters, as shown in the chart below:
JPMorgan Chase & Co. Price and EPS Surprise
JPMorgan Chase & Co. price-eps-surprise | JPMorgan Chase & Co. Quote
Nonetheless, the company has a negative earnings surprise of 4.02% in the trailing four quarters.
Revenue Lower Than Expected
JPMorgan recorded revenues of $29.22 billion, which marginally lagged the Zacks Consensus Estimate of $29.28 billion. However, it compared favorably with the year-ago number of $28.29 billion.
Key Q4 Statistics:
What Zacks Rank Says
The estimate revisions that we discussed earlier have driven a Zacks Rank #1 (Strong Buy) for JPMorgan. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look favorable, it all depends on what sense the just-released report makes to the analysts.
(You can see the complete list of today’s Zacks #1 Rank stocks here.)
Check back later for our full write up on this JPMorgan earnings report!
Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
You know this company from its past glory days, but few would expect that it’s poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.
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