Banking, finance, and taxes

What to Expect From the Major Banks Reporting Friday Morning

Chris Lange

Published: July 13, 2017 1:25 pm

Last Updated: January 12, 2020 10:09 am

The major banks kick off the earnings season each quarter, and we have a few of them reporting Friday morning. Although only three major banks are reporting, the rest will be coming along very shortly. Considering the recent highs that the Dow Jones Industrial Average has hit, the general market sentiment is positive going into second-quarter earnings, but what the banks do will definitely set the tone.

Ahead of the reports, Federal Reserve Chair Janet Yellen appeared before the Senate and House Banking Committees. According to one reporter “Yellen couldn’t have been hawkish if she tried,” a sentiment that could be a drag on the banks. Her message was very dovish, which in the long term could take away from guidance at these major banks.

However, financial stocks have made solid gains thus far in 2017, with a tremendous tailwind from the Trump rally, and Fed rate hikes in this time as well. In fact, in the past 52 weeks, most of these major money center banks have posted incredible gains.

We have included the consensus earnings estimates from Thomson Reuters, as well as the stock price and trading history.

JPMorgan Chase & Co. (NYSE: JPM) is set to report its second-quarter results Friday morning. The consensus forecast is $1.59 in earnings per share (EPS) and $25.02 billion in revenue. Shares were last seen trading at $92.78. The 52-week trading range is $63.38 to $94.51, with a consensus price target of $94.88. Over the past 52 weeks, the stock is up over 46%.

Citigroup Inc. (NYSE: C) is expected to release its most recent quarterly before the open as well. The consensus forecast calls for $1.21 in EPS and $17.37 billion in revenue. Shares were recently trading at $67.00. The consensus price target is $68.16, and the 52-week range is $42.50 to $68.91. Over the past 52 weeks, the stock is up about 54%.

And Wells Fargo & Co. (NYSE: WFC) will report its most recent quarterly results on Friday morning. The consensus estimates are $1.01 in EPS and $22.46 billion in revenue. Shares were trading at $55.37, in a 52-week range of $43.55 to $59.99. The consensus price target is $58.19. Over the past 52 weeks, the stock is up only about 14%.