JPMorgan Chase Rises, Wells Fargo Falls On Q1 Earnings

JPMorgan Chase (JPM) and Wells Fargo (WFC) released their latest earnings reports before opening bell this morning. JPMorgan posted $1.65 per share in earnings and $25.59 billion in revenue, compared to the Wall Street estimates of $1.52 per share and $24.75 billion in revenue. In the same quarter a year ago, the firm reported $1.35 per share in earnings.

Wells Fargo reported earnings of $1 per share on $22 billion in revenue, compared to Wall Street’s estimates of 96 cents per share and $22.3 billion in revenue. In the same quarter a year ago, the firm reported earnings of 99 cents per share on $22.2 billion in revenue.

JPMorgan Chase shares rise on earnings

JPMorgan Chase’s Consumer and Business Banking revenue fell to $10.97 billion, while Corporate and Investment Bank revenue rose to $9.5 billion. Commercial Banking revenues rose to $2 billion, while Asset & Wealth Management revenue rise to $3.1 billion. Markets and investor services revenue rose to $6.52 billion from $5.72 billion. Its equity markets revenue climbed 2%, while its fixed income market revenue surged by 17% year over year.

Average core loans grew 9% year over year.

“U.S. consumers and businesses are healthy overall and with pro-growth initiatives and improving collaboration between government and business, the U.S. economy can continue to improve,” JPMorgan Chase Chairman and Chief Executive Officer Jamie Dimon said in a statement. “We will be there to do our part, strong and steadfast in good times and bad, and working every day to support our clients and our communities.”

Shares of JPMorgan Chase jumped by as much as 0.82% to $86 in premarket trading this morning.

Wells Fargo shares fall after results

Wells Fargo’s average loans rose 4% to $963.6 billion from $927.2 billion a year ago. The firm’s net interest margin ticked downward to 2.87% from 2.9% in the same quarter a year ago. Average deposits rose 7% year over year to $1.3 trillion. Credit quality improved as provision expenses fell 44% to $605 million, while net charge-offs plunged $81 million to $805 million or 0.34% of average loans on an annualized basis.