JPMorgan Chase & Co. (NYSE:JPM)

CAPS Rating: 4 out of 5

A financial holding Company whose activities are organized into six business segments: Investment Bank, Retail Financial Services, Card Services, Commercial Banking, Treasury & Securities Services and Asset Management.

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Player Avatar Googlespooch (36.83) Submitted: 3/8/2013 3:55:29 AM : Outperform Start Price: $48.58 JPM Score: -5.98

There are a few major things going for JPMorgan. First of all, they have an excellent management team that has proven itself very capable. In addition to its other executives and management team, JPMorgan has Jamie Dimon who is probably one of the most respected individuals in the entire financial world. He has been able to pilot JPMorgan through tricky times and has overseen a huge expansion of JPMorgan. Next, JPMorgan is one of the largest banks in the world. Though we all know that this does not guarantee their survival, we do know that this, hopefully, means that it will be able to fend off short-term downturns well and even be able to deal with longer-term issues. In being so large, JPMorgan has gained a huge amount of assets that all help to increase their bottom line. Next, JPMorgan was one of the banks who, instead of requiring bailouts, actually was involved in the bailing-out of troubled assets through purchasing the companies that were going under like Washington Mutual. In doing so, JPMorgan gained the business of the customers belonging to those old companies, the value of which cannot be understated. In addition, JPMorgan has been able to foresee issues coming at them that many others have not been able to. Already, JPMorgan is working to find ways in which they can reduce their exposure to the student debt bubble in much the same way that they worked to reduce their risk to the implosion of the real estate bubble. This speaks volumes about the intuition of management at JPMorgan.Finally, JPMorgan has solidly paid dividends even when the U.S. Government was enforcing rules limiting the amount of dividends. As soon as possible, JPMorgan raised their dividend back up to a healthy level with talk of possible further hikes in the value of the dividend. This is a good company for a play on diversified financial services. They have an investing arm, retail and commercial banking, and consulting services.

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Member Avatar DAG1996MF (< 20) Submitted: 3/21/2013 10:28:51 AM
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"JPMorgan has Jamie Dimon who is probably one of the most respected individuals in the entire financial world"

Indeed. I work at a well-known Street financial firm (not JPM) and the extremely well-respected CEO of that firm commented directly to me that "Jamie Dimon is the smartest guy on Wall Street". Personally, I believe he is right about that.

Member Avatar kahunacfa (67.99) Submitted: 3/24/2013 8:41:13 PM
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JP Morgan was one of the Best of the Best large Financial Institutions Managed my James Dimon. Then they bought Chase Manhattan, one of the worst of the worst, unfortunately. ---

Kahuna, CFA

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