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1. Company Snapshot

1.a. Company Description

JPMorgan Chase & Co. operates as a financial services company worldwide.It operates through four segments: Consumer & Community Banking (CCB), Corporate & Investment Bank (CIB), Commercial Banking (CB), and Asset & Wealth Management (AWM).The CCB segment offers s deposit, investment and lending products, payments, and services to consumers; lending, deposit, and cash management and payment solutions to small businesses; mortgage origination and servicing activities; residential mortgages and home equity loans; and credit card, auto loan, and leasing services.


The CIB segment provides investment banking products and services, including corporate strategy and structure advisory, and equity and debt markets capital-raising services, as well as loan origination and syndication; payments and cross-border financing; and cash and derivative instruments, risk management solutions, prime brokerage, and research.This segment also offers securities services, including custody, fund accounting and administration, and securities lending products for asset managers, insurance companies, and public and private investment funds.The CB segment provides financial solutions, including lending, payments, investment banking, and asset management to small business, large and midsized companies, local governments, and nonprofit clients; and commercial real estate banking services to investors, developers, and owners of multifamily, office, retail, industrial, and affordable housing properties.


The AWM segment offers multi-asset investment management solutions in equities, fixed income, alternatives, and money market funds to institutional clients and retail investors; and retirement products and services, brokerage, custody, trusts and estates, loans, mortgages, deposits, and investment management products.The company also provides ATM, online and mobile, and telephone banking services.JPMorgan Chase & Co. was founded in 1799 and is headquartered in New York, New York.

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1.b. Last Insights on JPM

JPMorgan Chase's recent performance was driven by strong Q2 earnings, beating estimates with $5.24 EPS and $45.7B in managed revenue. The company's diversified business lines performed well, with Consumer & Community Banking revenue up 6% YoY, Commercial & Investment Bank revenue up 9% YoY, and Asset & Wealth Management revenue up 10% YoY. A $1.40 quarterly dividend increase, the second this year, and a $50B buyback plan, following strong stress test results, also contributed positively. Robust capital markets activity and investment banking performance drove the beat. (Source: JPMorgan Chase Q2 2025 earnings release)

1.c. Company Highlights

2. JPMorgan Chase Beats Earnings Expectations with Strong Revenue Growth

JPMorgan Chase reported net income of $14.4 billion and EPS of $5.07, beating analyst estimates of $4.85. Revenue of $47.1 billion was up 9% year on year, driven by higher markets revenue and fees across asset management, investment banking, and payment. Expenses of $24.3 billion were up 8% year on year. The bank's ROTCE was 20%, indicating strong profitability. With a P/E Ratio of 14.69 and a P/TBV of 2.37, the stock appears to be reasonably valued.

Publication Date: Oct -16

📋 Highlights
  • Strong Net Income and EPS: JPMorgan reported net income of $14.4 billion and EPS of $5.07, with a 20% ROTCE, indicating robust profitability.
  • Revenue Growth Driven by Key Segments: Total revenue rose 9% YoY to $47.1 billion, led by Corporate and Investment Bank (CIB) revenue growth of 17% to $19.9 billion.
  • Credit Costs and Reserve Build: Credit costs amounted to $3.4 billion, with $810 million in net reserve build, reflecting cautious risk management amid economic uncertainty.
  • CET1 Ratio Decline Due to RWA Expansion: CET1 ratio fell to 14.8% (-30 bps QoQ) due to RWA growth from lending initiatives, including $1 trillion in non-bank financial institution (NDFI) exposure.
  • Capital Allocation and Strategic Investments: $500 billion initiative for U.S. security-focused lending and a $10 billion equity stake in NDFIs highlight capital deployment prioritizing growth and stability.

Segment Performance

The Consumer and Community Banking (CCB) reported net income of $5 billion, with revenue of $19.5 billion up 9% year on year. The Corporate and Investment Bank (CIB) reported net income of $6.9 billion, with revenue of $19.9 billion up 17% year on year. The strong performance in these segments was driven by higher revenue and fees.

Credit Costs and Capital Management

Credit costs were $3.4 billion with net charge-offs of $2.6 billion and a net reserve build of $810 million. The CET1 ratio was 14.8%, down 30 basis points versus the prior quarter. The bank remains confident about its capital management and expects to continue generating organic capital.

Outlook and Guidance

The company expects fourth-quarter NII ex markets to be approximately $23.5 billion and fourth-quarter total NII to be about $25 billion. For 2026, the central case for NII ex markets is about $95 billion. The bank also expects 2025 card net charge-off rates to be approximately 3.3%. Analysts estimate next year's revenue growth at 3.5%, indicating a stable outlook.

Deposit Growth and Lending

The company remains confident about the overall long-term trajectory of deposit growth, but the macro environment shift has pushed out some of the growth inflection dynamics. Wholesale loan growth trends are solid, and the company is seeing very healthy deal flow, with a robust pipeline.

Expense Management

The bank is focused on discipline, constraining growth, and leveraging AI-driven productivity gains. As Jeremy Barnum noted, the bank is not trying to prove specific savings from AI but instead focuses on old-fashioned expense discipline. A $100 billion outlook for 2026 might be low, implying 4% year-over-year growth.

Valuation and Dividend Yield

With a Dividend Yield of 1.82%, JPMorgan Chase offers a relatively attractive yield compared to its peers. The stock's P/TBV of 2.37 is reasonable, considering the bank's strong profitability and capital management. Overall, the stock appears to be reasonably valued, with a balance of growth and yield.

3. NewsRoom

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JPMorgan Chase & Co. (JPM) Rises Higher Than Market: Key Facts

Dec -04

Source:

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JPMorgan Chase & Co. $JPM Shares Sold by Ceredex Value Advisors LLC

Dec -04

Source: defenseworld.net

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Bitcoin Whales Accumulate Again After The Selloff: Does This Confirm The Next Bull Cycle?

Dec -04

Source: feeds.benzinga.com

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Grantham Mayo Van Otterloo & Co. LLC Sells 40,731 Shares of JPMorgan Chase & Co. $JPM

Dec -04

Source: defenseworld.net

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GM Advisory Group LLC Raises Holdings in JPMorgan Chase & Co. $JPM

Dec -04

Source: defenseworld.net

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Groupama Asset Managment Acquires 25,835 Shares of JPMorgan Chase & Co. $JPM

Dec -04

Source: defenseworld.net

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Jeffrey Epstein island photos and videos released as top banks share files with House Oversight Committee

Dec -03

Source: cnbc.com

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JPM's Switzerland Play: Hiring Spree, New Money & A 2030 Doubling Goal

Dec -03

Source: zacks.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (7.97%)

6. Segments

Commercial and Investment Bank

Expected Growth: 8.4%

JPMorgan Chase & Co.'s financial services and investment banking division is driven by growth in corporate and investment banking, robust M&A activity, and increasing demand for advisory services.

Consumer & Community Banking

Expected Growth: 8.4%

JPMorgan Chase & Co.’s financial services for consumers and small businesses will drive growth, fueled by increasing adoption of digital banking, rising demand for credit cards and loans, and expansion into new markets.

Asset & Wealth Management

Expected Growth: 8.1%

JPMorgan Chase & Co.’s financial services and investment management segment is expected to grow driven by increasing demand for wealth management, digital banking, and investment products, as well as expansion into new markets and strategic partnerships.

Corporate Segment

Expected Growth: 4.2%

JPMorgan Chase & Co.’s Corporate segment is expected to grow driven by increasing demand for treasury services, growth in commercial lending, and improvement in interest income

Reconciling Items

Expected Growth: 5.6%

JPMorgan Chase & Co. expects growth driven by increasing consumer spending, expansion in digital payments, and strong corporate investment banking performance.

7. Detailed Products

Consumer Banking

Provides financial services to individuals and small businesses, including checking and savings accounts, credit cards, home and auto loans, and investment services.

Corporate and Investment Bank

Provides investment banking, markets, and treasury services to corporations, governments, and institutional investors.

Commercial Banking

Provides financial services to mid-sized businesses, including cash management, lending, and trade finance.

Asset and Wealth Management

Provides investment management and wealth management services to individuals, institutions, and retirement plans.

Mortgage Banking

Provides mortgage lending and servicing to individuals and businesses.

Auto Finance

Provides financing for new and used vehicles to dealerships and consumers.

Card Services

Provides credit card services to consumers and businesses.

Merchant Services

Provides payment processing and merchant services to businesses.

Treasury Services

Provides cash management and treasury services to corporations and institutions.

8. JPMorgan Chase & Co.'s Porter Forces

Forces Ranking

Threat Of Substitutes

JPMorgan Chase & Co. has a diversified product portfolio, which reduces the threat of substitutes. The company's strong brand recognition and customer loyalty also make it difficult for substitutes to gain traction.

Bargaining Power Of Customers

JPMorgan Chase & Co. has a large customer base, which gives customers some bargaining power. However, the company's diversified product offerings and strong brand recognition mitigate this power to some extent.

Bargaining Power Of Suppliers

JPMorgan Chase & Co. is a large financial institution with significant bargaining power over its suppliers. The company's scale and scope of operations give it an upper hand in negotiations with suppliers.

Threat Of New Entrants

The financial services industry has high barriers to entry, making it difficult for new entrants to compete with established players like JPMorgan Chase & Co. The company's strong brand recognition and regulatory hurdles also deter new entrants.

Intensity Of Rivalry

The financial services industry is highly competitive, with many established players competing for market share. JPMorgan Chase & Co. faces intense rivalry from other major banks and financial institutions, which can lead to pricing pressures and reduced market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 57.11%
Debt Cost 9.53%
Equity Weight 42.89%
Equity Cost 9.53%
WACC 9.53%
Leverage 133.14%

11. Quality Control: JPMorgan Chase & Co. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
JPMorgan Chase

A-Score: 6.7/10

Value: 5.3

Growth: 5.2

Quality: 6.5

Yield: 5.0

Momentum: 8.5

Volatility: 9.7

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Stock-Card
East West Bank

A-Score: 6.6/10

Value: 5.8

Growth: 7.7

Quality: 8.1

Yield: 4.0

Momentum: 7.0

Volatility: 7.0

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Stock-Card
Citigroup

A-Score: 6.2/10

Value: 6.7

Growth: 4.7

Quality: 4.4

Yield: 5.0

Momentum: 8.5

Volatility: 8.0

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Bank of America

A-Score: 6.2/10

Value: 5.6

Growth: 5.3

Quality: 5.0

Yield: 5.0

Momentum: 7.5

Volatility: 8.7

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Wells Fargo

A-Score: 6.1/10

Value: 5.9

Growth: 5.2

Quality: 5.7

Yield: 4.0

Momentum: 8.0

Volatility: 8.0

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Truist

A-Score: 5.8/10

Value: 4.8

Growth: 2.8

Quality: 5.5

Yield: 8.0

Momentum: 6.0

Volatility: 8.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

315.04$

Current Price

315.04$

Potential

-0.00%

Expected Cash-Flows