JPMorgan Chase CEO Jamie Dimon testifies during the Senate Banking, Housing and Urban Affairs Committee hearing entitled “Annual Oversight of Wall Street Firms,” December 6, 2023, in the Hart Building.
Tom Williams | Cq-roll Call, Inc. | Getty Images
- Earnings per share: $3.32, according to LSEG, formerly known as Refinitiv.
- Revenue: $39.78 billion, according to LSEG.
- Net interest income: $22.98 billion, on an FTE basis, according to StreetAccount.
- Trading turnover: Fixed income $3.78 billion, equities $1.91 billion, according to StreetAccount.
JPMorgan is being closely watched for clues on how banks are faring amid volatile interest rates and rising loan losses.
While the largest U.S. bank by assets has mastered the interest rate environment since the Federal Reserve began raising interest rates in early 2022, smaller competitors have suffered profit losses.
The industry was forced to pay up for deposits as customers shifted cash into higher-yielding instruments, putting pressure on margins. At the same time, rising yields cause banks' bonds to lose value, resulting in unrealized losses that put pressure on capital.
Concern is also growing about rising losses on commercial loans, particularly office building debt, and higher credit card delinquencies.
Beyond net interest income and loan loss forecasts for this year, analysts want to hear what CEO Jamie Dimon has to say about the economy and banks' efforts to contain upcoming increases in capital requirements.
Wall Street could get some help this quarter as investment banking revenue is higher than last year while trading may be “flat,” JPMorgan said at a conference last month.
Battered bank stocks rallied in November on expectations that the Fed had successfully combated inflation and could cut interest rates this year.
Shares of JPMorgan rose 27% last year, the best performance among major banks, and outpaced the KBW Bank Index's 5% decline.
Bank of America, Wells Fargo and Citigroup are expected to report results later on Friday, while Goldman Sachs and Morgan Stanley report on Tuesday.
This story is developing. Please check back for updates.