Bullish Revisions Follow JPMorgan's Beat-And-Raise Quarter, BMO And Oppenheimer Weigh In

Shares of JPMorgan Chase & Co JPM are trading higher Monday following two revised analyst ratings after the bank issued earnings Friday.

The earnings beat expectations on the top and bottom lines. Here’s what investors need to know.

By The Numbers: JPMorgan Chase issued earnings of $4.37 per share, ahead of the $3.99 estimates, on revenues of $42.2 billion, which beat the $38.96 billion street estimate.

The Oppenheimer Analyst: Chris Kotowski maintained an outperform rating, but raised the price target from $212 to $227.

The BMO Analyst: James Fotheringham maintained an Outperform rating, but raised the price target from $160 to $170.

The Oppenheimer Takeaways: Kotowski said the results underscore JPM’s performance despite economic uncertainty, showing strength with noninterest-bearing deposits making up 28.1% of average second-quarter deposits. He pointed out the persistent benefits of the “free funds”, even as deposit repricing poses some challenges.

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The analyst noted that all benefits to Net Interest Margin (NIM) will likely be lost post-hike.

Kotowski revised his price target, citing windfalls from JPM's First Republic acquisition.

The BMO Takeaways: Fotheringham increased his JPM estimates by as much as 7%, noting management’s sober tone on deposit trends, who emphasized an increase in betas and limited pricing power.

Despite near-term challenges, JPMorgan raised its full-year Non-Interest Income (NII) guidance to $87 billion, 4% above the previous prediction of $84 billion.

And, despite raising near-term estimates due to higher expected revenues, Fotheringham noted he does not expect any significant change in 2025, anticipating pressure from rate cuts and capital regulations.

JPM Price Action: Shares of JPMorgan Chase are trading 0.7% higher to $150.82, according to data from Benzinga Pro.

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