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JPMorgan Chase & Co. (JPM) Stock Sinks As Market Gains: What You Should Know

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In the latest trading session, JPMorgan Chase & Co. (JPM - Free Report) closed at $121.64, marking a -0.77% move from the previous day. This move lagged the S&P 500's daily gain of 0.23%. Meanwhile, the Dow gained 0.06%, and the Nasdaq, a tech-heavy index, added 0.1%.

Coming into today, shares of the company had gained 7.03% in the past month. In that same time, the Finance sector gained 11.28%, while the S&P 500 gained 10.76%.

Investors will be hoping for strength from JPMorgan Chase & Co. as it approaches its next earnings release. The company is expected to report EPS of $2.94, down 21.39% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $32.13 billion, up 8.39% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $11.26 per share and revenue of $126.78 billion, which would represent changes of -26.69% and +4.22%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for JPMorgan Chase & Co.These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.08% higher. JPMorgan Chase & Co. is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that JPMorgan Chase & Co. has a Forward P/E ratio of 10.89 right now. Its industry sports an average Forward P/E of 10.89, so we one might conclude that JPMorgan Chase & Co. is trading at a no noticeable deviation comparatively.

Also, we should mention that JPM has a PEG ratio of 2.18. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Banks - Major Regional stocks are, on average, holding a PEG ratio of 1.37 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 87, putting it in the top 35% 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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