JPMorgan Chase shares fell by the most in almost four years (shares closed down 6.5 percent) on Friday as an underwhelming outlook for its lending business overshadowed an increase in first-quarter profits at the US’s largest bank. The lender said net income increased to $13.4bn in the first quarter, up 6 per cent from a year earlier’ expectations.
JPMorgan lifted its full-year guidance for NII — broadly the difference between what it pays on deposits and what it earns from loans and other assets — outside of its trading business to about $89bn from an earlier forecast of about $88bn, it left its outlook for total NII unchanged at about $90bn.
“While the guide still strikes us as ultra-conservative . . . we suspect the unchanged outlook will disappoint investors a bit and could weigh on the stock in the immediate term,” said Scott Siefers, an analyst at Piper Sandler.