It might be the time to buy JPMorgan before it banks up
JPMorgan Chase & Co.(JPM) is one of the biggest banks in the world with a a market cap of $360.223 billion and is the biggest bank in America. They have a high profit margin of 31.41% showing that they are very profitable and that they have the potential to continue to expand from the high profit.
JPMorgan has the highest P/E ratio compared to other top banks showing that investors expect them to have a higher growth than the others, but they aren't valued as overpriced because they are below the P/E ratio average of around 13.51. JPMorgan also has a high dividend yield with only Wells Fargo having a higher one showing that JPMorgan has a greater return than Bank of America and Citigroup. However JPMorgan has a better return even though they don't have the highest dividend yield considering they have a higher and more stable profit margin compared to Wells Fargo which would allow them to be consistent on paying out their dividends and they may increase their dividends.
JPMorgan has also performed better than the other top banks over two years showing that they have high long term performance rate. Their stock increased 27.3% in two years compared to Bank of America's 20.47% increase, Citigroup's 12.45% increase, and Wells Fargo's 16.39% decrease.
JPMorgan is also not too close to their 52 week high which means that they have space to increase and are not under the threat of dropping too much from increasing a lot past the high. Analysts rate JPMorgan is a buy right now because of their not too high price and P/E ratio, but they also are predicted to post strong earnings after beating quarterly earnings expectations 3 out of the past four releases. Posting a strong Q2 earnings would help boost the stock making right now the best time to buy when it isn't too high.
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