/JPMorgan%20Chase%20%26%20Co_%20sign-by%20Robson90%20via%20Shutterstock.jpg)
New York-based JPMorgan Chase & Co. (JPM) operates as a financial services company providing global financial services and retail banking. With a market cap of $703 billion, the company provides services such as investment banking, treasury and securities services, asset management, private banking, card member services, commercial banking, and home finance.
Companies worth $200 billion or more are generally described as “mega-cap stocks,” and JPM definitely fits that description, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the diversified - banks industry. JPM stands as a testament to financial resilience and innovation making it a global leader in financial services.
Despite its notable strength, JPM has slipped 3.2% from its 52-week high of $254.31, achieved on Nov. 25. Over the past three months, JPM stock gained 9.5%, outperforming the Dow Jones Industrials Average’s ($DOWI)7.7% gains during the same time frame.
In the longer term, shares of JPM rose 44.8% on a YTD basis and climbed 57% over the past 52 weeks, outperforming DOWI’s YTD gains of 18.8% and 23.6% returns over the last year.
To confirm the bullish trend, JPM has traded above its 50-day moving average since early October. It has been trading above its 200-day moving average over the past year.
JPMorgan's strong performance is driven by its strategic expansion plans, including opening 500 new branches by 2027. This initiative targets underserved areas, aiming to attract deposits and expand its customer base, with projected additional revenues of $9.1 billion. The bank is also benefiting from a healthy investment banking pipeline, active M&A market, and high interest rates.
On Oct. 10, JPM shares closed down marginally after reporting its Q3 results. Its non-GAAP net revenue stood at $43.3 billion, up 6.5% year over year. The company’s EPS increased marginally year over year to $4.37.
JPM’s rival, Bank of America Corporation (BAC) shares lagged behind the stock, with a 39.7% uptick on a YTD basis and a 51.9% gain over the past 52 weeks.
Wall Street analysts are moderately bullish on JPM’s prospects. The stock has a consensus “Moderate Buy” rating from the 21 analysts covering it. While JPM currently trades above its mean price target of $238.55, the Street-high price target of $270 suggests an upside potential of 9.6%.
