JPMorgan Chase & Co | $JPM Stock | Shares Rise On Record Q2 Revenue and Profit

JPMorgan Chase

JPMorgan Chase & Co (NYSE: JPM)


Shares of JPMorgan Chase rose slightly before the opening bell Friday, after the banker announced upbeat second-quarter financial results. Net income jumped 18% as the company topped Wall Street estimates for the fourteenth consecutive quarter.

JPMorgan also said it would raise its quarterly dividend to $0.80 per share in the third quarter, and buy back up to $20.7 billion in shares.

JPM Earnings & Outlook

The company posted earnings of $8.3 billion, or $2.29 per share, compared with $7.0 billion, or$1.82 per share, in last year’s second quarter.

Analysts expected earnings of $2.22 per share, according to Thompson Reuters figures. Total revenue was $28.4 billion, up 6% and above analyst estimate of $27.36 billion.

The Consumer & Community Banking segment posted revenue of $12.5 billion, missing analyst estimate of $12.6 billion. In the second quarter of fiscal 2017, the segment had a revenue of $11.4 billion.

Meanwhile, the Corporate & Investment Bank segment recorded a revenue of $9.92 billion versus $8.93 billion in the prior-year quarter.

JPMorgan Chase CEO Comments

While announcing the results, JPMorgan Chase CEO Jamie Dimon said, “We see good global economic growth, particularly in the U.S., where consumer and business sentiment is high. Because of this broad growth and the strong underlying performance across each of our businesses, the company delivered record results this quarter. We also want to acknowledge that global competition is getting stronger.”

Dimon continued, “The healthy U.S. consumer drove double digit growth in client investment assets, card sales and merchant processing volumes. Capital markets were open and active, leading to strong fee and markets revenue performance.”

JPMorgan Chase & Co. Profile

JPMorgan Chase & Co. is a financial services company that provides investment and banking services globally. Its segments of operation are as follows: Corporate & Investment Bank, Consumer & Community Banking, Asset & Wealth Management, and Commercial Banking.

The Corporate & Investment Bank segment offers investment banking services and products, such as advice on corporate structure and strategy, and capital-raising in debt and equity markets, as well as loan syndication and origination.

It also offers treasury services, including cash management solutions; and derivative instruments and cash securities, research, prime brokerage, and risk management solutions. In addition, it provides securities services, such as fund administration and accounting, and securities lending products for insurance firms, and asset managers.  

The Consumer & Community Banking segment serves businesses and consumers through ATMs, telephone, online, and mobile banking, as well as through personal service at bank branches.

The Commercial Banking division provides financial services, such as investment banking, treasury, lending, and asset management to nonprofit entities, corporations, financial institutions, and municipalities, as well as financing to real estate owners and investors.

The Asset & Wealth Management segment offers wealth and investment management services across several asset classes, including money market funds, equities, and fixed income; retirement services; multi-asset investment management services; and banking and brokerage services comprising mortgages, trusts, deposits, estates, and loans.

JPMorgan Chase & Co. was founded in 1799 and is based in New York. –CNN