JPMorgan (JPM) Earnings: What To Expect
JPMorgan Chase & Co. (JPM), the nation’s No. 1 bank by total assets, will lead a flood of bank earnings for the second quarter when the Dow component reports its financial results Friday morning. In the case of JPMorgan, on Friday analysts will hunt for clues that the bank can remain best of breed regardless of where presidential initiatives stand.
Likewise, investors will want some confirmation that the Fed’s stance towards normalization will have a growth effect on bank profits. And this is where guidance for the third quarter and full year will be scrutinized. Banks, in general, generate higher revenue and make more money as interest rates rise because of the loans they make as a results of higher loan yields.
Go Long JPMorgan Chase & Co. (JPM) Stock Into Earnings With Confidence
Strong fundamentals and guaranteed financial engineering are in JPM stock. Consensus is that JPMorgan Chase & Co. (NYSE:JPM) is an elite bank, so dips in its stock are almost always buying opportunities. The problem is that sustainable dips have been scarce. There is no doubt that the equity markets are still uber-bullish, buoyed by hopes of fiscal spending and friendly central banks.
More specifically, banks also are rising on the promise of less red tape and rising interest rates. Fundamentally, JPM stock is cheap. It is rare that we find proven winners with a price-to-earnings ratio under 15 and a 1.4 price-to-book. So owning JP Morgan here cannot be a major mistake.
JPMorgan Chase 2Q Earnings Preview: What Should Investors Expect?
It was a good quarter for JPMorgan Chase, though its earnings per share is expected to drop compared to the first quarter. When JPMorgan Chase (NYSE:JPM) kicks off second-quarter earnings season for banks this Friday, its shareholders can anticipate a typically solid performance.
Analysts expect the nation’s biggest bank by assets to earn $1.60 per share in the three months ended June 30. That compares to $1.65 per share in the first quarter of the year and $1.55 per share in the second quarter of last year.
The decline from the first quarter can largely be explained by an expected drop in trading revenues. JPMorgan Chase earned $6.5 billion in trading and related revenues last quarter, driven by increased activity among its institutional investor clients. But low market volumes and volatility in the latest quarter acted as headwinds.
On the Tape Today | 7-14-17
JBLU-Jetblue Airways finally joined the other airlines in a trade setup with room to go. A swing trade triggered with solid volume and a clear short term target. Game planning a $24 buy stop and an initial target to sell of $27. Stop loss on a close below $23.
Stock Market Today:
SPY ETF continues to climb, but nobody can figure out how…
Thirty nine. Thirty nine million shares traded, as the most closely watched ETF climbs to all-time highs again. And absolutely no interest. Just for context if you’re new to the blog, I use the 100 million shares traded number as the level for a significant day.
The reason most active traders focus on volume — is liquidity and follow through. It’s tough to get out of size without liquidity (managing your downside risk). It’s tough to trade size and expect follow through (a high probability move in your intended direction) without volume from the institutions.
The current stock market is like driving on a road with black ice. You can see your direction but you never feel comfortable. Most of the big traders I know rely on the market for conviction. You aren’t necessarily trading the market, but it gives you confidence when the bias is obvious.
The challenge right now? The price action is hollow. Volume means order flow. Order flow is commitments in real money.
How do you trade this type of market profitably? You use the sector and the industry as your main tool for bias. Make a list of stocks that match the stocks you intend to trade. Put them in a watch list and put your focus there.
If you’re trading from home and you’re confused. I’m here to tell you, you’re not alone. There is money to be made in stocks. I’m sure you work hard every day to build a game plan. Be confident in your work. Don’t let the putrid volume in the indices lull you into a false analysis of what’s available.
Trade your stocks with confidence.
Stocks to Trade | 7-14-17 Friday Edition
JPM-JPMorgan Chase Earnings Report
Bullish Momentum: CAR, KSS, RH, NUE, CF
Bullish Order Flow: AAOI, RH, CC, AMGN, CELG, AVGO, BABA, TSO, AET, FB, BIDU, PNC, BA, CAT, UNH, DLPH, MCD, NVDA,
Bearish Order Flow: esrx, khc, nfx, rost, fl, tsco, cost, apc, tjx, hog, hds, slca
Double Normal Volume: YNDX, TGT, STX, FAST, AAOI
Inside Day: yelp, kors, fslr, cars, ibm, apa, nwl, khc, clr, fl, dhi, bsx, dvn, low, cvs, phm, slb, amat, fast
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