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

JPMorgan Chase & Co. (JPM) closed at $135.71 in the latest trading session, marking a -1.27% move from the prior day. This change lagged the S&P 500's daily loss of 0.61%. Elsewhere, the Dow lost 0.41%, while the tech-heavy Nasdaq added 10.45%.

Heading into today, shares of the company had lost 1.05% over the past month, outpacing the Finance sector's loss of 2.27% and lagging the S&P 500's gain of 1.05% in that time.

Investors will be hoping for strength from JPMorgan Chase & Co. as it approaches its next earnings release. In that report, analysts expect JPMorgan Chase & Co. to post earnings of $3.55 per share. This would mark year-over-year growth of 28.62%. Meanwhile, our latest consensus estimate is calling for revenue of $36.9 billion, up 20.13% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $14.29 per share and revenue of $147.29 billion, which would represent changes of +18.2% and +14.45%, respectively, from the prior year.

Any recent changes to analyst estimates for JPMorgan Chase & Co. should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.52% lower. JPMorgan Chase & Co. currently has a Zacks Rank of #3 (Hold).

Digging into valuation, JPMorgan Chase & Co. currently has a Forward P/E ratio of 9.62. Its industry sports an average Forward P/E of 7.57, so we one might conclude that JPMorgan Chase & Co. is trading at a premium comparatively.

Also, we should mention that JPM has a PEG ratio of 1.92. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Banks - Major Regional industry currently had an average PEG ratio of 1.08 as of yesterday's close.

The Banks - Major Regional industry is part of the Finance sector. This group has a Zacks Industry Rank of 220, putting it in the bottom 13% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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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