Free Annual Reports
JPMorgan Chase Third Quarter Earnings Preview
Tickers in this Article »
JPM
JPMorgan Chase (NYSE:JPM) will announce its third quarter earnings on Friday, July 13, 2012. Analysts have become increasingly bullish on the company in the last month, with consensus earnings per share estimate moving up from $1.16 a share to the current expectation of earnings of $1.21 a share.
Investors should care about a company's quarterly earnings because it shows the state of the business over the past 90 days and provides guidance for the following 90 days. SEE: Everything Investors Need To Know About Earnings
What to Expect: JPMorgan is expected to report $1.21 per share, up 18.6% from a year ago when the company reported earnings of $1.02 per share.
Over the past three months, this has increased from $1.04. Analysts are expecting earnings of $4.74 per share for the fiscal year.
Revenue of $97.76 billion is expected for the fiscal year.
Company Performance: Revenue fell in the second quarter after an increase in the previous quarter. It fell 17.8% to $25.13 billion in the second quarter following a 3.4% increase in the first quarter.
Relative to the industry P/E ratio of 11.9, JPM's 9.4 is low. A low P/E ratio may indicate that the market expects relatively slower earnings growth. One of the most important estimates of stock market valuation is the price/earnings ratio (P/E ratio). To determine the P/E ratio, an investor divides the market price of the stock by the earnings-per-share (EPS) of the stock. SEE: Investment Valuation Ratios: Price/Earnings Ratio
The stock price has risen from $34.59 on July 11, 2012 to $41.66 over the past quarter. JPMorgan's best recent streak was when its price gained $2.81 per share between September 10, 2012 and September 14, 2012.
The Competition: J.P. Morgan Chase is a global securities, investment banking and retail banking firm with operations worldwide. The majority of analysts (17 of 25) give JPMorgan a buy rating. Buy ratings have increased slightly over the last three months.
The company's closest competitor in the money center banks industry is Citigroup (C). Analysts are less optimistic about JPMorgan than about Citigroup. Thirteen out of 21 analysts rate the latter a buy.
Investors should care about a company's quarterly earnings because it shows the state of the business over the past 90 days and provides guidance for the following 90 days. SEE: Everything Investors Need To Know About Earnings
What to Expect: JPMorgan is expected to report $1.21 per share, up 18.6% from a year ago when the company reported earnings of $1.02 per share.
Over the past three months, this has increased from $1.04. Analysts are expecting earnings of $4.74 per share for the fiscal year.
Revenue of $97.76 billion is expected for the fiscal year.
Company Performance: Revenue fell in the second quarter after an increase in the previous quarter. It fell 17.8% to $25.13 billion in the second quarter following a 3.4% increase in the first quarter.
The stock price has risen from $34.59 on July 11, 2012 to $41.66 over the past quarter. JPMorgan's best recent streak was when its price gained $2.81 per share between September 10, 2012 and September 14, 2012.
The Competition: J.P. Morgan Chase is a global securities, investment banking and retail banking firm with operations worldwide. The majority of analysts (17 of 25) give JPMorgan a buy rating. Buy ratings have increased slightly over the last three months.
The company's closest competitor in the money center banks industry is Citigroup (C). Analysts are less optimistic about JPMorgan than about Citigroup. Thirteen out of 21 analysts rate the latter a buy.
by
Investopedia Staff
Investopedia.com believes that individuals can excel at managing their financial affairs. As such, we strive to provide free educational content and tools to empower individual investors, including thousands of original and objective articles and tutorials on a wide variety of financial topics.
Free Annual Reports
