Q4 Snap: solid result, future tax rate of 20%!
JPM delivered another good result despite the difficult comp with 4Q16 and confusion given recent tax reform. FICC was below expectations, indicating a weak end to the year given low volatility. But other areas surprised to the upside, including Treasury Solutions, Securities Services and IB fees. Loan growth seemed to pick up in Q4 (+2% QoQ) with C&I stronger than expected and NIM expansion of 5bp QoQ helped drive strong net interest income growth. Credit quality remained very good with NCOs ticking down 1bp QoQ thanks to improvement in auto. Compensation costs ticked up given higher accruals reflecting the strong year. Lastly, the balance sheet remained healthy with the CET1 ratio at 12.7% and the adj. ROTE of 13.1% was up 60bp YoY.
Formed in 2003 by an established team from Cazenove, one of the most respected investment banks in the UK, Atlantic Equities conducts and publishes fundamental, bottom up research on mid and large cap US companies.
Atlantic provide order execution through a wide range of DMA products and algorithmic trading suites.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.