In the latest trading session, JPMorgan Chase (JPM - Free Report) closed at $110.13, marking a +0.36% move from the previous day. This move lagged the S&P 500's daily gain of 0.82%. Meanwhile, the Dow gained 0.82%, and the Nasdaq, a tech-heavy index, added 0.64%.
Heading into today, shares of the biggest U.S. bank by assets had lost 3.07% over the past month, outpacing the Finance sector's loss of 4.06% and the S&P 500's loss of 4.58% in that time.
JPM will be looking to display strength as it nears its next earnings release, which is expected to be July 14, 2019. The company is expected to report EPS of $2.56, up 11.79% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $29.38 billion, up 5.86% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.03 per share and revenue of $115.29 billion. These totals would mark changes of +11.44% and +5.74%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for JPM. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.33% higher. JPM is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that JPM has a Forward P/E ratio of 10.94 right now. For comparison, its industry has an average Forward P/E of 10.87, which means JPM is trading at a premium to the group.
Also, we should mention that JPM has a PEG ratio of 1.56. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Banks - Major Regional was holding an average PEG ratio of 1.33 at yesterday's closing price.
The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 57, which puts it in the top 23% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.