Last quarter, JPMorgan saw strength in its consumer banking
business while the investment banking and commercial banking divisions saw weakness.
Wealth management remained relatively flat due to lower investment valuation
gains. In the third quarter, net interest income might be impacted by the drop
in interest rates.
Despite the uncertain environment, JPMorgan’s quarterly results are likely to remain steady as the company continues to grow its market share and expand its footprint. The bank is also expected to benefit from its investments in building its technological and digital banking capabilities.
Also read: UnitedHealth Group Q3 2019 Earnings Preview
ADVERTISEMENT
In the second quarter of 2019, JPMorgan beat revenue and earnings estimates. Revenues grew 4% year-over-year to $28.8 billion and EPS improved 23% to $2.82. The company saw a 22% growth in its Consumer & Community Banking division while the remaining segments posted single-digit declines.
JPMorgan’s shares have gained 21% year-to-date. The majority of analysts have given the stock a Buy rating and the average price target is $122.10.
JPMorgan’s competitors Goldman Sachs (NYSE: GS) and Wells Fargo (NYSE: WFC) are also scheduled to report their earnings results on the same day.