Seeking Alpha

Analysts muse about JPMorgan ahead of investor conference

  • One year ago, the bank laid out a path toward "normalized" annual earnings of $27.5B, a number that could be tough to reach this year given continued pressure on interest margins, but Jefferies' Ken Usdin believes JPMorgan (JPM +0.1%) will deliver "with some help from incremental cost control and other new growth initiatives." This implies EPS of $6.50-$7, but don't forget buybacks which could drive the figure closer to $7.50, says Usdin.
  • He rates the stock a Buy with $66 price target.
  • Credit Suisse's Moshe Orenbuch says the net income target could rise as high as $29B "as legal mortgage expenses normalize and JPM realizes benefits of its growth initiatives." Orenbuch is modeling for $2.5B in litigation expenses in 2014, but reserves of (an estimated) $8B provide plenty of cover.
  • He rates the stock a Buy with $70 price target.
Comments (1)
  • The earnings will be based how many more billions of dollars they reserve for and or pay out.
    21 Feb, 12:12 PM Reply Like
DJIA (DIA) S&P 500 (SPY)