JPMorgan Chase & Co. (JPM) Dips More Than Broader Markets: What You Should Know

JPMorgan Chase & Co. (JPM) closed at $155.18 in the latest trading session, marking a -1.52% move from the prior day. This change lagged the S&P 500's daily loss of 0.2%.

Coming into today, shares of the company had lost 4.31% in the past month. In that same time, the Finance sector gained 1.25%, while the S&P 500 gained 2.11%.

JPM will be looking to display strength as it nears its next earnings release, which is expected to be July 13, 2021. On that day, JPM is projected to report earnings of $3.09 per share, which would represent year-over-year growth of 123.91%. Meanwhile, our latest consensus estimate is calling for revenue of $30.49 billion, down 7.54% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $13.38 per share and revenue of $120.45 billion, which would represent changes of +50.68% and +0.71%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for JPM. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.23% higher. JPM is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, JPM is currently trading at a Forward P/E ratio of 11.77. This valuation marks a discount compared to its industry's average Forward P/E of 12.08.

Meanwhile, JPM's PEG ratio is currently 2.36. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Banks - Major Regional stocks are, on average, holding a PEG ratio of 1.42 based on yesterday's closing prices.

The Banks - Major Regional industry is part of the Finance sector. This group has a Zacks Industry Rank of 138, putting it in the bottom 46% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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