Shares of major banks, including JPMorgan Chase, Citigroup, and Wells Fargo, saw an increase in value after reporting stronger earnings and revenue for the third quarter.
JPMorgan Chase
JPMorgan Chase witnessed a 3% rise in its stock, reaching $150.24 in early trading. Year-to-date, the stock has surged by 12%. The bank exceeded analysts’ expectations with earnings of $4.33 per share, beating the consensus estimate of $3.95 per share. Furthermore, JPMorgan Chase reported a revenue of $39.87 billion, surpassing analyst forecasts of $39.63 billion.
Citigroup
Shares of Citigroup increased by 2% to $42.36 in early trading. Despite a 6% decline year-to-date, the bank’s third-quarter earnings of $1.63 per share remained unchanged compared to the previous year. These earnings outperformed analysts’ forecasts of $1.23 per share. Additionally, Citigroup’s quarterly revenue reached $20.14 billion, surpassing projections of $19.27 billion.
Wells Fargo
Wells Fargo experienced a 2.5% increase in its stock, reaching $40.73 in early trading. Although the stock has seen a slight decline year-to-date, the bank’s earnings of $1.48 per share exceeded analyst estimates of $1.24 per share. Moreover, Wells Fargo reported a revenue of $20.86 billion, surpassing projections of $20.09 billion.
The reports from these financial heavyweights revealed that consumers are accumulating higher credit card balances while making smaller monthly payments. Additionally, Citi and Wells Fargo noted an increase in trading revenue, while JPMorgan’s net interest income surged by 30%. The banks also acknowledged a rise in loan charge-offs as both consumers and businesses struggle to keep up with the growing interest rates.
