Despite March's banking crisis, big banks beat estimates across the board: JPM, WFC, PNC, C
Premium|Take advantage of 50% OFF on your first month.
Start your subscription and get access to all our original articles.
You have reached your limit of 5 free articles for this month.
Get all exclusive analysis, access our analysis and get Gold and signals alerts
Elevate your trading Journey.
UPGRADE- JPMorgan stock rose 5.7% on earnings beat.
- Wells Fargo stock rose 4.1%.
- PNC beat earnings but missed revenue estimates.
- Citigroup beat earnings consensus, but revenue rose the lowest YoY of the four banks.
Forget about March! While that month may have taken a sledge hammer to regional banks like First Republic (FRC) and PacWest Bancorp (PACW), the big national banks on Wall Street made a killing. Higher interest rates on variable loans helped JPMorgan (JPM), Wells Fargo (WFC), Citigroup (C) and PNC Financial (PNC) beat Wall Street earnings estimates by a mile.
Bank earnings: JPMorgan, Wells Fargo, PNC Financial, Citigroup
JPMorgan reported first quarter earnings of $4.10 per share on revenue of $38.3 billion. This beat Wall Street consensus of $3.41 per share on revenue of $34.77 billion. Revenue rose 25% YoY largely on higher interest rates charged to variable rate borrowers. JPM stock surged 5.7% to $136.34.
Wells Fargo earned $1.23 per share, beating consensus by 11 cents. Revenue of $20.73 billion bested Wall Street by $670 million and rose 18% YoY. WFC stock jumped 4.1% to $41.28 on the news.
PNC Financial reported Q1 earnings of $3.98 per share, overachieving consensus by 34 cents. Revenue of $5.6 billion missed consensus by just $10 million but rose 19% YoY. Net interest income dropped about $100 million YoY due primarily to higher funding costs. PNC stock rose 0.5% to $122.
Citigroup reported $1.86 in adjusted EPS, which beat consensus by 17 cents. Revenue of $21.4 billion beat consensus by $1.34 billion and rose 12% YoY. Citigroup stock rose 1.5% to $48.
Despite the good news, all four banks raised their allowances for credit losses in the quarter.
Bank stock chart
The KBW NASDAQ Bank Index is down 19.2% year to date. The only one of these four stocks underperforming is PNC, which is a major bank but more regional than the other three. PNC stock is down 24% year to date. Citigroup was the best performing and is up 3% year to date. JPMorgan and Wells Fargo are down 4.5% and 5.1%, respectively.
KBW NASDAQ Bank Index daily chart
- JPMorgan stock rose 5.7% on earnings beat.
- Wells Fargo stock rose 4.1%.
- PNC beat earnings but missed revenue estimates.
- Citigroup beat earnings consensus, but revenue rose the lowest YoY of the four banks.
Forget about March! While that month may have taken a sledge hammer to regional banks like First Republic (FRC) and PacWest Bancorp (PACW), the big national banks on Wall Street made a killing. Higher interest rates on variable loans helped JPMorgan (JPM), Wells Fargo (WFC), Citigroup (C) and PNC Financial (PNC) beat Wall Street earnings estimates by a mile.
Bank earnings: JPMorgan, Wells Fargo, PNC Financial, Citigroup
JPMorgan reported first quarter earnings of $4.10 per share on revenue of $38.3 billion. This beat Wall Street consensus of $3.41 per share on revenue of $34.77 billion. Revenue rose 25% YoY largely on higher interest rates charged to variable rate borrowers. JPM stock surged 5.7% to $136.34.
Wells Fargo earned $1.23 per share, beating consensus by 11 cents. Revenue of $20.73 billion bested Wall Street by $670 million and rose 18% YoY. WFC stock jumped 4.1% to $41.28 on the news.
PNC Financial reported Q1 earnings of $3.98 per share, overachieving consensus by 34 cents. Revenue of $5.6 billion missed consensus by just $10 million but rose 19% YoY. Net interest income dropped about $100 million YoY due primarily to higher funding costs. PNC stock rose 0.5% to $122.
Citigroup reported $1.86 in adjusted EPS, which beat consensus by 17 cents. Revenue of $21.4 billion beat consensus by $1.34 billion and rose 12% YoY. Citigroup stock rose 1.5% to $48.
Despite the good news, all four banks raised their allowances for credit losses in the quarter.
Bank stock chart
The KBW NASDAQ Bank Index is down 19.2% year to date. The only one of these four stocks underperforming is PNC, which is a major bank but more regional than the other three. PNC stock is down 24% year to date. Citigroup was the best performing and is up 3% year to date. JPMorgan and Wells Fargo are down 4.5% and 5.1%, respectively.
KBW NASDAQ Bank Index daily chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.