No recommendation
No news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.
(Sharecast News) - US banking giant JPMorgan Chase posted record secondquarter earnings on Tuesday, lifted by a sharp rebound in bigticket IPOs and dealmaking, alongside stronger trading performance in volatile markets.
JPMorgan said revenues rose across all business units, with investmentbanking fees reaching their highest level since 2021, with the rebound driven in part by a surge in US IPO activity, led by SpaceX's landmark listing, where the bank acted as one of the lead underwriters.
Quarterly profits rose to $21.2bn, or $7.70 per share, up from $14.99bn a year earlier, helped by a $4.6bn gain tied to the bank's stake in Visa. Markets revenue jumped 35% yearonyear, while equitytrading revenue was up 86% and fixedincome trading was 6% higher.
Net interest income excluding markets rose 4% to $23.7bn, with average loans up 10%, and JPMorgan also lifted its FY26 interestincome forecast to $96.5bn, from $95bn.
Investment banking fees climbed 30% on the year, above the bank's earlier estimate. JPMorgan worked on several major transactions during the quarter, including advising on NextEra Energy's $67bn merger with Dominion Energy and acting as lead active bookrunner on Alphabet's $85bn equity offering. The recovery in investment banking also coincided with elevated market volatility.
However, shares traded lower in premarket action after JPMorgan raised its FY26 expense forecast to $107.5bn, up from $105bn.
As of 1330 BST, JPMorgan shares were down 2.67% at $325.60 each.
Reporting by Iain Gilbert at Sharecast.com
The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website is not personal advice based on your circumstances. So you can make informed decisions for yourself we aim to provide you with the best information, best service and best prices. If you are unsure about the suitability of an investment please contact us for advice.