In this multi-article analysis, we’ve been analyzing JPMorgan Chase & Co.’s (JPM) Q3 earnings report by first breaking out the areas that drove revenue and led to an EPS beat for the quarter. Also, we have been looking at how those revenue drivers will likely position the bank for Q4 and 2018.
In my first article, we looked at loan and net interest income growth for the bank and how the balance sheet was managed so effectively.
In this article, we’ll tackle the problem area for the quarter – fixed-income trading revenue which was down 27% on a year over year basis. If you follow the news, you couldn’t miss the trading revenue headline following the earnings release.
However, I believe Q3 was a good quarter for JPM’s fixed-income trading division particularly given the market challenges. And to take my thesis a step farther, for long-term investors, the bank is doing all the right things despite the headlines of a 27% decline in revenue.
If you follow my articles on Seeking Alpha, you know we’ve been touting that the economic backdrop is favorable for banks this year and into next year. Economic growth typically leads to loan demand from businesses as they increase capital investment and loan demand from consumers in the form of credit cards, mortgages, and auto loans.
Top 5 Bank Stocks For 2018: Berkshire Hathaway Inc.(BRK.A)
- [By WWW.THESTREET.COM]
Warren Buffett’s Berkshire Hathaway (BRK.A) (BRK.B) was upgraded to a “stable” rating outlook at S&P (SPGI) from a “watch negative” outlook on Tuesday.
- [By Diane Alter]
The sector took off in November when 13F filings revealed Warren Buffett’s Berkshire Hathaway Inc. (NYSE: BRK.A) bought shares in American Airlines Group Inc. (Nasdaq: AAL), United Continental Holdings Inc. (NYSE: UAL), Southwest Airlines Co. (NYSE: LUV), and Delta.
- [By Virendra Singh Chauhan]
Warren Buffett-ledBerkshire Hathaway (NYSE:BRK.A) has been on a tear following the US Presidential election. The BRK.A stock is up 12.2% since November 8, outperforming the S&P 500 (INDX:SPAL), which is up 6% in the same period. While Buffett was a clear and staunch supporter of Hillary, it could come across as a surprise that investors have been buying BRK.A stock in droves. Can Berkshire Hathaway maintain its strong uptrend? Well, while the stock seems to be on a run, this rally could be far longer taking the stock higher under the Trump Presidency. Berkshire Hathaway looks set for a big 2017. Here is why.
- [By Ashley Moore]
At $257,200.00 a share, investing in Berkshire Hathaway Inc. (NYSE: BRK.A) is simply not an option for most retail investors like us. But the nearly 50 other “Warren Buffett stocks” that Berkshire invests in come at a much lower price point.
Top 5 Bank Stocks For 2018: SPAR Group Inc.(SGRP)
- [By Jim Robertson]
On Wednesday, our Under the Radar Moversnewsletter suggested going long on small cap international merchandising and marketing services stockSPAR Group Inc (NASDAQ: SGRP):
Top 5 Bank Stocks For 2018: Frontier Communications Corporation(FTR)
- [By Paul Ausick]
Frontier Communications Corp. (NASDAQ: FTR) dropped about 4.2% on Wednesday to record a new 52-week low of $2.51 against a high of $5.75. The stock closed at $2.62 on Tuesday. Volume was about a third higher than the daily average of around 25 million shares. The company had no specific news Wednesday, but the struggling company continues getting slaughtered.
- [By Lisa Levin]
Telecommunications services shares climbed by 1.24 percent in the US market on Thursday. Top gainers in the sector included Verizon Communications Inc. (NYSE: VZ), and Frontier Communications Corp (NASDAQ: FTR).
- [By Chris Lange]
The stock posting the largest daily percentage gain in the S&P 500 ahead of the close Tuesday was Frontier Communications Corp. (NASDAQ: FTR) which jumped about 4.7% to $1.35. The stocks 52-week range is $1.19 to $5.31. Volume was 46.4 million compared with the daily average 51.0 million shares.
Top 5 Bank Stocks For 2018: Enphase Energy, Inc.(ENPH)
- [By Ben Levisohn]
UPDATE: I stand corrected. There does appear to be a reason for First Solar’s market-leading move today. Axiom Capital’s Gordon Johnson attributes the rise to the $10 million investment in Enphase Energy (ENPH), which makes “microinverter systems for the solar photovoltaic industry,” by investors T.J. Rodgers and John Doerr.
Top 5 Bank Stocks For 2018: Data I/O Corporation(DAIO)
- [By Lisa Levin]
In trading on Wednesday, technology shares fell 2.51 percent. Meanwhile, top losers in the sector included Autodesk, Inc. (NASDAQ: ADSK), down 15 percent, and Data I/O Corporation (NASDAQ: DAIO) down 13 percent.