|Bid||109.75 x 1300|
|Ask||109.87 x 800|
|Day's Range||109.19 - 109.96|
|52 Week Range||91.11 - 119.24|
|Beta (3Y Monthly)||1.17|
|PE Ratio (TTM)||11.84|
|Earnings Date||Jul 16, 2019|
|Forward Dividend & Yield||3.20 (2.76%)|
|1y Target Est||118.35|
HARRISBURG, Pa. (AP) — Pennsylvania's treasury department is accusing about a dozen large financial firms of working together to illegally inflate the price of bonds issued by Fannie Mae and Freddie Mac over seven years.
The U.S. has been slow to embrace tap-to-pay transactions, but history suggests that a turning point may be near.
The move makes JPMorgan, the largest U.S. bank by assets, the most high-profile corporation known to have distanced itself from Purdue and its wealthy owners, the Sackler family, amid thousands of lawsuits alleging the company pushed addictive painkillers while downplaying their abuse and overdose risks. JPMorgan's decision also underscores a drive among U.S. banks to reassess their relationships with clients and industries in response to controversy and political debates over matters such as immigration detention and mass shootings. After JPMorgan informed Purdue in March that it had six months to find another bank, Purdue tapped Dallas-based regional bank Comerica Inc to handle its financial transactions and accounts, the sources said.
Let's see what the charts say about this key financial and member of the Dow Jones Industrial Average (DJIA). In this daily bar chart of JPM, below, we can see that prices of JPM declined sharply in the fourth quarter. The daily On-Balance-Volume (OBV) line declined from June to December, telling us that sellers of JPM were more aggressive.
Financial institutions are getting caught in the downdraft created by the ongoing U.S.-China trade tensions. If trading activity slows, banks have fewer business deals to work on, hurting revenues. Bank of America (NYSE:BAC), which fell 4% last week, is set to erase the post-earnings rally that continued after its earnings report posted in April. At a recent price of $28.40, should investors consider BAC stock?Source: Shutterstock Bank of America reported first-quarter earnings of 70 cents, up 13% from last year but adding to its 27% CAGR since Q1 2015. Its operating leverage fell to 4%, while its share count dropped 7% to 9.8 billion.Expect management to continue its shareholder-friendly moves over the long-term. If investors view trade tensions as noise, then the stock's recent dip of around 5.4% in the last month created another entry point for investors.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Operating LeverageBank of America, like other banks, is investing heavily on its own business to gain operating leverage. It will increase spending in technology/digitization by 10% this year. Its physical delivery network expanded as it added 31 financial centers in new and existing markets in the last 12 months. These investments are already having a positive impact on the business. It now has 37 million active digital banking users, compared to 32 million in Q1 2016. Total payments topped $705 billion, with non-digital growing 3% year-over-year and digital up 8%. With each digital transaction displacing the traditional ones, Bank of America is saving on operating costs. * 10 Names That Are Screaming Stocks to Buy The growth in mobile channel usage and digital deposit transactions all point to the bank becoming an online bank giant. And while the growth in loans and leases may slow due to macro issues, Bank of America is building a leaner operation to grow profits. First-Quarter By the NumbersBank of America's client balances grew 4% while the average deposit size increased 5%. GWIM now has assets under management of $1.1 trillion. The company bought back $6.3 billion in shares and paid out $1.5 billion in dividends. The stock's dividend yields 2.12%. This is below Citigroup's (NYSE:C) 2.77% and Wells Fargo & Company's (NYSE:WFC) 3.94%. Overall, it returned 112% of net income to common shareholders.BAC stock is more attractive than Wells Fargo because the latter still has the account fraud scandal controversy to deal with. Rate Hikes on PauseThe Fed's pause on rate hikes is another negative headwind that investors should consider despite the strong quarterly report from Bank of America. Without rates rising, the growth in income from interest rate spreads will slow. Still, Bank of America's net interest income grew 5% year-over-year by $0.6 billion. It benefited from past rate hikes and loan and deposit growth. This was partially offset by loan spread compression.Steady Non-performing loans, consumer and commercial net charge-offs in the first quarter could worsen if the U.S. economy worsens. For now, trade war tensions are unlikely to hurt the economy, but investors consider an escalation in tariff levels as a potential risk for BAC stock. ValuationOnly nine analysts cover Bank of America stock and have an average price target of $35.33 (according to Tipranks). Conversely, investors could use a price-to-earnings multiple valuation model to determine the fair value of BAC stock. This involves comparing its value with Citi, Wells Fargo, JP Morgan (NYSE:JPM) and Morgan Stanley (NYSE:MS). With this model, the fair value of ~$30, giving an upside of 6%.Investors could instead choose WFC stock, whose P/E of 10X is similar to that of BAC stock. Citi's P/E is 9.5 times and its dividend yield is higher. Yet investors chose to sell the stock, too, by 4.2% in the week and 7.5% lower in the month. That is more than the drop in BAC stock. Your TakeawayTrade tensions will dominate the headlines and move BAC stock in either direction. But Bank of America demonstrated its transformation to digital banking is paying off regardless of the trade war stories.As of this writing, Chris Lau did not hold a position in any of the aforementioned securities. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 6 Stocks to Buy for This Decade's Massive Megatrend * The 7 Best Stocks to Buy From the IPO ETF * 7 Athletic Apparel Stocks With Marathon Pace Compare Brokers The post Why U.S.-China Trade Tensions Pulled Bank of America Stock Lower appeared first on InvestorPlace.
J.P. Morgan, the largest U.S. bank by assets, becomes the most high-profile corporation known to have disassociated itself from the OxyContin maker. The move forced Purdue to look for other banks to manage its bills and cash. Purdue, owned by the wealthy Sackler family, faces thousands of lawsuits claiming that the company marketed addictive painkillers while underplaying the risks of abuse and overdose.
General Electric (NYSE:GE) stock, once among the most boring names in the Dow Jones Industrial Average, is now facing constant danger.Source: Shutterstock It met earnings guidance for the first quarter but its asset sale to Danaher (NYSE:DHR) may be in trouble. Fears over its pension liability may be overblown but it has a grim future.CEO Larry Culp is "the man for the job" but GE Power may take three years to recover.InvestorPlace - Stock Market News, Stock Advice & Trading TipsGeneral Electric is a great name, and Culp did a fine job at his previous post running Danaher. But this turnaround may be a bridge too far, and do you really want your money tied up in it? Forget the Name General ElectricThere is romance attached to the name General Electric, and over 130 years of history. In analyzing the company, you need to forget the history, or you'll get lost.Let's call this company Culp Industries. * 6 Stocks to Buy for This Decade's Massive Megatrend Culp Industries is a conglomerate with a market cap of $84 billion. It has $107.5 billion in "borrowings," $36.8 billion of insurance liabilities and annuity benefits (from a failed effort in long-term-care insurance), and $32.9 billion in "non-current compensation and benefits" (mainly pensions). This leaves $35.2 billion for "shareholder equity" on the books, up from $31 billion a year ago.Culp Industries consists of several businesses, some of which are doing well and some of which are doing poorly. The Aviation, Healthcare and lending businesses are doing well. The oil and gas business made a little money. The problems are in the power and renewable energy units, which make turbines and related equipment.Culp can't sell the problem children because their value is negative. Closing them would take out $7 billion in revenue and do nothing to reduce those liabilities. The Danaher deal trims the size of the healthcare unit but brings in about $21 billion. Apply that $20 billion to the balance sheet and it takes just one-fifth of the debt. Questions for GE StockIt's the power unit that's taking the whole company down. Respected JPMorgan Chase analyst Stephen Tusa says Culp "appears to be stopping short of telling the whole story" about the unit, which is losing market share. Cash flow for the unit is now seen as "significantly negative." There are more negative data points. General Electric continues to lay off workers, quietly moving jobs to India. The healthcare unit's activities in Brazil could draw fines under the Foreign Corrupt Practices Act.Culp is doing everything he can, short of changing his company's name to Culp Industries, to make investors forget about the old General Electric. He's turning over the board and has dumped plans to build a glorious new headquarters in Boston. Instead, the company will rent space.I can't imagine anyone doing a better job with the hand he has been dealt than Larry Culp. He has moved decisively to reduce cash flow drain, focused on operations that are making money, and created a new attitude for GE stock.If the oil and gas unit, Baker Hughes (NYSE:BHGE), has a winner in its "electric fracking" equipment, more good news could be on the way. BHGE stock is doing better than rivals Schlumberger (NYSE:SLB) and Halliburton (NYSE:HAL), but its value is still down by more than one-third in the last year. The Bottom LineI wouldn't buy Culp Industries here. There are green shoots, the CEO is doing what he can, but an economic downturn could sink the company's big plans at any time -- even at $10 per share.Dana Blankenhorn is a financial and technology journalist. He is the author of a new environmental story, Bridget O'Flynn and the Bear , available now at the Amazon Kindle store. Write him at email@example.com or follow him on Twitter at @danablankenhorn. As of this writing he owned shares in JPM. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 6 Stocks to Buy for This Decade's Massive Megatrend * The 7 Best Stocks to Buy From the IPO ETF * 7 Athletic Apparel Stocks With Marathon Pace Compare Brokers The post General Electric Stock Is Full of Peril appeared first on InvestorPlace.
Both JPMorgan (JPM) and Bank of America (BAC) are well poised for growth on the back of strong fundamentals. But JPMorgan holds an edge based on several factors.
JPMorgan Chase has dropped its client Purdue Pharma, the OxyContin maker, which has been accused in thousands of lawsuits of fuelling the US opioid crisis. , was forced to find a new bank after JPMorgan told the pharmaceuticals company that it was cutting ties because of rising reputational risk, according to people familiar with the matter. JPMorgan did not lend to Purdue but managed its cash and bills, the person said.
, saying the ride-hailing company had come to market during a “very difficult week” and its long-term share price performance would be more important than its early trading. Morgan Stanley, one of the two biggest advisers in Silicon Valley, was the lead bank on the deal. “I think you do your best to find price transparency by matching supply and demand after thousands of hours of talking to investors, but that came to the market during a very difficult week, and difficult weeks deliver unpredictable outcomes,” Mr Gorman told reporters on the sidelines of Morgan Stanley’s annual shareholder meeting in Purchase, New York.
FT premium subscribers can click here to receive Due Diligence every day by email. Few on Wall Street or in Silicon Valley believe the battle between Morgan Stanley and Goldman Sachs will shake out the same way in one category. The next three banks — Bank of America, Allen & Co and Citigroup — earned less than a third of their bounty, according to data provider Refinitiv.
Now it's time to check out three tech stocks that came through our screen today that growth investors might want to consider buying right now.
JPMorgan highlighted a group of 64 dividend-paying stocks it calls the Emerging Markets Dividend Nobles.
J.P. Morgan Chase & Co. and Visa Inc. said Wednesday that Chase customers can soon use their Visa contactless cards to ride subways and buses in New York City. The use of the tap-to-pay cards will start May 31 for the 4, 5 and 6 subway lines between the Grand Central-42nd Street station in Manhattan to Brooklyn's Atlantic Ave.-Barclays Center station, and on all Staten Island buses. "Over time," all subway lines and buses will accept the contactless cards, the companies said. "Contactless payments have shaped the way consumers pay all over the world, saving valuable time and delivering a fast, easy and secure way to pay," said Dan Sanford, Visa's global head of contactless payments. J.P. Morgan Chase's stock slipped 0.4% in premarket trade and Visa shares edged up 0.2%, while futures for the Dow Jones Industrial Average declined 95 points, or 0.4%.
NEW YORK, May 22, 2019 /PRNewswire/ -- Chase customers can soon benefit from an easier way to get around town by tapping their Visa contactless cards to ride New York City's subways and buses, removing the need to stand in line to purchase or load a separate transit card.
Even though the Oracle of Omaha isn't feeling the buzz on cannabis, a handful of companies he owns are exposed to its growth.
The Board of Directors of JPMorgan Chase & Co. declared a quarterly dividend on the outstanding shares of the common stock of JPMorgan Chase.
JPMorgan Chase & Co said on Tuesday that only 72% of shareholder votes approved its executive compensation packages, marking unusual opposition to pay for the bank's top leaders. About 93% supported JPMorgan's executive pay last year. JPMorgan Chase also said all of its directors were elected, and that a shareholder proposal that the bank report annually on its global gender pay gap was voted down, according to preliminary tallies.
It has also been amended to reflect that shares of Arabian Centres are due to start trading on Wednesday. It will be the biggest initial public offering since the $6bn listing of lender National Commercial Bank in late 2014.
Berkshire Hathaway (NYSE:BRK.A)(NYSE:BRK.B)'s much-awaited 13F form was made public towards the end of last week, finally revealing how much stock Warren Buffett (Trades, Portfolio)'s conglomerate had acquired in online retailer Amazon (AMZN) during the first quarter of 2019. Warning! GuruFocus has detected 2 Warning Sign with AMZN. According to the filing, Berkshire owned around 483,000 in the online giant at the end of March, a holding worth around $860 million according to the filing.
Federal Reserve officials remain “patient”, saying rates will likely remain unchanged well into the future. Frances Stacey, Optimal Capital Director of Strategy, joins. Seana Smith on 'The Ticker' to break down the recent FOMC minutes and what lies ahead for the U.S. economy.