JPMorgan Stock Seen As Top Buy After Investor Day, Says Analyst

JP Morgan Chase & Co. JPM's investor day struck the right tone for Wall Street, with Bank of America calling the stock a top buy and lifting its price target to $300 as the bank doubled down on return efficiency, capital deployment, and CEO stability.

"Investor day provided plenty for the Street to like," said the bank’s analyst Ebrahim Poonawala in a note Tuesday.

The expert lifted the stock’s price objective from $281 to $300, implying a 13% upside from current levels. He now sees 2025 and 2026 earnings per share at $18.30 and $20.70, up from $18.10 and $20 previously.

CEO Succession Risk Now On The Backburner

The single biggest overhang for JPMorgan's stock—CEO succession—may have just eased. CEO Jamie Dimon said, "If I’m here for four more years and maybe two or three as executive chair… that's a long time," signaling no imminent departure.

Poonawala said this clarity should help remove "the single biggest idiosyncratic risk factor debated by investors," based on client conversations.

Capital Deployment Through M&A Gaining Traction

While JPMorgan has traditionally favored share buybacks over large-scale M&A, the tone shifted subtly during the investor day. Management appeared more open to strategic acquisitions, particularly in wealth management, private banking, payments, and international markets.

With an estimated $57 billion in excess capital, JPMorgan has the firepower to pursue growth opportunities—though transformational deals remain unlikely.

The analyst described this flexibility as a key part of the bank's attractive risk/reward profile, particularly amid a more balanced regulatory environment.

Efficiency Push May Reset Cost Trajectory

Poonawala highlighted management's continued push for cost efficiency as another reason for optimism. With tech investment near peak levels and headcount growth under tighter control.

“This could reset core expense growth to low single digits from mid-to-high in recent years, further boost the ROE profile,” Poonawala said.

Shares of JPMorgan Chase traded 0.4% higher to $266 on Tuesday.

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