JPMorgan Chase CEO Jamie Dimon delivered a speech at the Bloomberg Global Business Forum held in New York, USA on Wednesday, September 25, 2019.
Tiffany Hagler-Geard | Bloomberg | Getty Images
JPMorgan Chase plans to report third quarter earnings before the market opens on Wednesday
This is what Wall Street expects:
- Earnings: According to data from Refinitiv, $3 per share, an increase of 2.6% over the same period last year
- Revenue: USD 29.8 billion, down 0.6% year-on-year
- Net interest income: According to StreetAccount’s data, it was USD 12.98 billion based on the report.
- Trading income: US$3.73 billion in fixed income, US$2.16 billion in stocks
- Investment banking fees: $2.75 billion
JPMorgan Chase is the first major bank to report third-quarter earnings and will pay close attention to signs of inflection points in weak loan growth in the industry.
Thanks to government stimulus measures, repayment of credit card balances and reduction in business loans, consumers and businesses have ample cash this year. This prompted CEO Jamie Dimon in April to call loan demand “challenged.”
Another area of interest will be the company’s Wall Street trading and consulting department. For most of the pandemic, booming transactions, IPO issuances, and mergers brought strong fees to JPMorgan Chase’s investment bank.
It is expected to slow down in the third quarter. Last month, JPMorgan Chase executive Marian Lake said that transaction revenue will fall 10% from the same period last year, which is an exceptionally strong quarter.
After a series of recent transactions, Dimon may be asked about the bank’s acquisition strategy. Last month, the bank acquired restaurant review service Infatuation and university planning platform Frank. Prior to this, three acquisitions of fintech start-ups were made last year.
JPMorgan Chase’s share price has risen 31% this year, lagging the KBW Bank Index’s 38% increase.
This story is developing. Please check for updates.
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