J.P. Morgan Chase & Co. is hitting all-time highs for our subscribers despite fears that U.S. tariffs on imported goods would hurt lenders. That’s because tariffs could increase inflation, deter business investment and depress consumer confidence; all of those would lower demand for new loans and increase credit losses.
However, this lender remains well capitalized, which would help it to cope with a possible downturn. We continue to see it as a solid addition to the Finance segment of your portfolio. The shares trade at just 14.4 times forecast earnings and offer institutional-grade quality at a reasonable valuation for investors seeking both near-term earnings growth and long-term structural wealth creation.
J.P. MORGAN CHASE & CO. (New York symbol JPM) is the largest banking firm in the U.S., with total assets of $4.56 trillion as of September 30, 2025.
The bank passed the U.S. Federal Reserve’s latest annual stress test, which measures how financial firms would cope with a jump in unemployment, falling stock prices and other unfavourable developments.
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As a result, Morgan increased your quarterly dividend by 7.1% with the October 2025 payment. Investors now receive $1.50 a share instead of $1.40. The new annual rate of $6.00 yields 1.9%.
As well, the bank has authorized a new $50 billion common share repurchase program. That’s equal to 6% of its current market cap of $879.5 billion. There are no time limits for those buybacks.
J.P. Morgan’s stock is still cheap despite hitting all-time highs
Morgan set aside $3.40 billion to cover potential loan losses in the three months ended September 30, 2025, up 9.4% from $3.11 billion a year earlier. That’s due to higher loan-loss provisions on business and credit card loans.
Despite the higher provisions, Morgan’s earnings in the quarter rose 11.6%, to $14.39 billion from $12.90 billion a year earlier. Due to fewer shares outstanding, per-share earnings rose at a faster rate of 16.0%, to $5.07 from $4.37. That topped the consensus estimate of $4.81.
Revenue in the quarter also improved 8.8%, to $47.12 billion from $43.32 billion, which also beat the consensus forecast of $45.59 billion. Higher revenues from its wealth management and securities-trading operations offset the negative impact of lower interest rates.
The stock is now hitting all-time highs for our subscribers, but still trades at just 14.4 times the $21.18 a share that Morgan will probably earn in 2026
Recommendation in Wall Street Stock Forecaster: J.P. Morgan Chase & Co. is a buy.
