JP Morgan outperformed expectations in the third quarter of 2016. The bank recorded revenues of almost $24 billion in the third quarter, as interest income bolstered numbers. JP Morgan’s balance sheet is particularly sensitive to interest rate changes and it is expected that the recent hike in the Federal Funds rate will reflect positively on earnings for the bank. Price action is above both the 50 and the 200 day moving averages, with a clear upward trend, indicating long-term momentum is positive. JP Morgan reports earnings on Friday 13th January, before market open.
- Earnings are set to rise from $1.32 per share for the fourth quarter of 2016, representing an 8% rise from the previous year.
- The company has received 8 earnings upgrades in the last 30 days.
- Since the beginning of 2015, JP Morgan was able to beat earnings estimates in five out of seven quarters.
- Revenue for the quarter is set to rise to $23.87 billion from $23.75 billion for the same period of 2015.
- For the fourth quarter of 2016, shares rose by approximately 30%.