Deutsche Bank has recently reduced JPMorgan Chase & Co (JPM) stock to Hold rating, as announced on September 3, 2024, according to Finviz. Earlier, on August 20, 2024, Daiwa Securities had reduced the stock from a Buy to Outperform, setting a price target of $240. Wolfe Research also reduced Peer Perform rating. Additionally, Deutsche Bank raised Buy rating on January 9, 2024, with a target price of $190. Daiwa Securities analysts, in their report published on December 18, 2023, also raised Buy rating for JPMorgan Chase & Co’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
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JPMorgan Chase & Co (JPM) Stock Trading Recap
On Friday, JPMorgan Chase & Co (JPM) stock saw a decline, ending the day at $204.32 which represents a decrease of $-2.28 or -1.10% from the prior close of $206.6. The stock opened at $206.86 and touched a low of $203.02 during the day, reaching a high of $207.85. The volume of shares traded was 10.21 million exceeding the average volume of 9.09 million.
JPM Stock Performance and Moving Averages
In recent trading, JPMorgan Chase & Co (JPM) stock price has shown some volatility, fluctuating -3.83% over the last five trades and -2.82% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by 8.70%, and it has gained 5.50% in the previous three months. Currently, JPM is trading at -5.38%, -3.18%, and 7.04% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, JPM, a Financial sector stock, is trading -9.38% below its 52-week high but remains 51.14% above its 52-week low. The Average True Range (ATR) (14 days) of 5.1 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
JPMorgan Chase & Co’s Profitability and Valuation Ratios
JPMorgan Chase & Co’s profitability metrics reveal strong financial health. The company currently boasts an operating margin of 26.00% and a profit margin of 19.52%, with a gross margin of 8.70%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, JPMorgan Chase & Co’s market capitalization stands at $581.32 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 11.4, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 11.97. Additionally, the Price-to-Sales Ratio is 2.17, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 1.84, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 0.39% of JPMorgan Chase & Co (JPM)’s shares, while financial institutions hold 74.09%.
Notable insider trades include Friedman Stacey, General Counsel at JPMorgan Chase & Co (JPM), who sold 4415 shares on Jun 20 ’24, at $197.58 each, totaling $0.87 million. On Jun 10 ’24, BACON ASHLEY, Chief Risk Officer, sold 5086 shares for $199.54 each, amounting to $1.01 million. Additionally, on May 20 ’24, Beer Lori A sold 5298 shares at $200.64 each, generating $1.06 million.
