earning_s wrote a post · Jan 11, 2024 17:42

Goldman Sees Upside for JPMorgan

Goldman Sachs Recommends JPMorgan Call Options
- Goldman Sachs recommends purchasing JPMorgan’s January call options, specifically the $172.50 calls expiring on Jan. 24, ahead of the bank’s earnings report.
- The options trading activity suggests a potential 3% swing in the stock price, in line with its average earnings move over the past eight quarters.
Anticipated Earnings Outperformance
- Analyst Richard Ramsden from Goldman Sachs expects JPMorgan to beat consensus estimates on pre-provision net revenue due to higher net interest income and lower core expenses.
- Ramsden is optimistic about JPMorgan's franchise value and upside to "best-in-class" revenue despite industry challenges such as deposit pricing, weak loan growth, and credit normalization.
- He also anticipates that JPMorgan will exceed consensus expectations for net interest income by 1% and core expenses should be 16% lower than Street forecasts.
Recovery Outlook & Stock Performance
- Despite slipping 0.4% since the start of 2024, JPMorgan shares had climbed nearly 27% in the prior year.
- Ramsden believes an eventual recovery in the investment banking business this year can offset lower trading fees and that the bank can increase buybacks earlier than previously anticipated. $JPMorgan (JPM.US)$ $Goldman Sachs (GS.US)$

Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only. Read more

Translate

Report

11K Views

Comment

earning_s

188

Followers

Following

549

Visitors