• Sat. Aug 13th, 2022

Citi upgrades JPMorgan to buy from neutral ahead of Thursday’s earnings

Byanna

Jul 13, 2022 , ,
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Citi analyst Keith Horowitz on Tuesday upgraded JPMorgan Chase & Co.
JPM,
+0.10%

to buy from neutral and cut his price target on the stock to $135 a share from $145 a share. Horowitz said he sees potential upside on the bank’s earnings per share and that it offers a relative bargain compared to its peers. “The stock no longer reflects premium valuation and higher capital levels (and limited buybacks) now seem priced in,” Horowitz said. The move came as part of an overall outlook for the second-quarter earnings season for banks, which begins Thursday with an update from JPMorgan. “While higher interest rates are a clear positive for bank returns, investor sentiment remains negative due to concerns that Fed action will lead to large credit losses (not reflected in consensus estimates), potential breaks in financial plumbing, and the wildcard of additional regulatory action raising capital requirements,” Horowitz said. JPMorgan Chase shares are down 28.7% so far in 2022, compared to a drop of 14.74% by the Dow Jones Industrial Average
DJIA,
-0.62%

and a 19.9% loss by the S&P 500
SPX,
-0.92%
.
JPMorgan Chase is a component of the 30-stock Dow Jones Industrial Average.



Image and article originally from www.marketwatch.com. Read the original article here.