JP Morgan Stock Buy Hold or Sell Recommendation

JPM -  USA Stock  

USD 151.65  1.01  0.67%

Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding JP Morgan Chase is 'Strong Buy'. Macroaxis provides JP Morgan buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding JPM positions. The advice algorithm takes into account all of JP Morgan's available fundamental, technical, and predictive indicators you will find on this site.

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The advice is provided from JP Morgan's buy-and-hold perspective. Please see JP Morgan Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as JP Morgan and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards JP Morgan Chase.

Execute JP Morgan Buy or Sell Advice

The JP Morgan recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on JP Morgan Chase. Macroaxis does not own or have any residual interests in JP Morgan Chase or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute JP Morgan's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell JP MorganBuy JP Morgan
Strong Buy

Volatility

Very steadyDetails

Hype Condition

StaleDetails

Current Valuation

UndervaluedDetails

Odds of Distress

Close to AverageDetails

Economic Sensitivity

Responds to the marketDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

FrailDetails

Financial Leverage

TolerableDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon JP Morgan Chase has a Risk Adjusted Performance of 0.0333, Jensen Alpha of (0.028945), Total Risk Alpha of (0.05), Sortino Ratio of (0.006442) and Treynor Ratio of 0.0303
Macroaxis provides trade advice on JP Morgan Chase to complement and cross-verify current analyst consensus on JP Morgan. Our advice engine determines the entity's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure JP Morgan Chase is not overpriced, please check out all JP Morgan Chase fundamentals, including its cash and equivalents, beta, and the relationship between the price to sales and cash flow from operations . Given that JP Morgan Chase has a number of shares shorted of 23 M, we strongly advise you to confirm JP Morgan market performance and probability of bankruptcy to ensure the company can sustain itself this quarter and beyond given your latest risk tolerance and investing horizon.

JP Morgan Trading Alerts and Improvement Suggestions

JP Morgan Chase has about 1510 B in cash with (3.69 B) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 497.67.
JP Morgan Chase has a frail financial position based on the latest SEC disclosures
Roughly 73.0% of the company shares are owned by institutional investors
Latest headline from www.marketwatch.com: JPMorgan Chase Co. stock outperforms market on strong trading day - MarketWatch

JP Morgan current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. JP Morgan analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. JP Morgan analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price167.44
Target Median Price171.80
Target High Price200.00
Recommendation Mean2.30
Number Of Analyst Opinions25
Target Low Price110.00
Average Consensus Buy
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

JP Morgan Returns Distribution Density

The distribution of JP Morgan's historical returns is an attempt to chart the future uncertainty of JP Morgan's future price movements. The chart of the probability distribution of JP Morgan stock daily returns describes the distribution of returns around its average expected value. We use JP Morgan Chase price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of JP Morgan returns is essential to provide solid investment advice for JP Morgan stock.
Mean Return0.05Value At Risk-2.28
Potential Upside2.01Standard Deviation1.33
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of JP Morgan historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

JP Morgan Cash Flow Accounts

201620172018201920202021 (projected)
Depreciation Amortization and Accretion5.48 B6.18 B7.79 B8.37 B8.61 B8.04 B
Net Cash Flow or Change in Cash and Cash Equivalents29.47 B40.15 B(152.51 B)(15.16 B)263.98 B284.82 B
Issuance Purchase of Equity Shares(9.08 B)(15.41 B)(19.98 B)(24 B)(6.52 B)(7.03 B)
Issuance Repayment of Debt Securities24.67 B(17.01 B)37.24 B(35.74 B)9.6 B10.35 B
Payment of Dividends and Other Cash Distributions(8.48 B)(8.99 B)(10.11 B)(12.34 B)(12.69 B)(13.02 B)
Net Cash Flow from Financing98.27 B14.64 B34.16 B32.99 B596.64 B643.75 B
Net Cash Flow from Investing(89.2 B)28.25 B(199.42 B)(52.06 B)(261.91 B)(268.8 B)
Net Cash Flow Investment Acquisitions and Disposals(86.38 B)28.81 B(194.43 B)(47.02 B)(254.57 B)(261.27 B)
Net Cash Flow from Operations21.88 B(10.83 B)15.61 B4.09 B(79.91 B)(82.01 B)
Effect of Exchange Rate Changes on Cash(1.48 B)8.09 B(2.86 B)(182 M)9.15 B9.88 B

JP Morgan Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to JP Morgan or Financial Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that JP Morgan stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a JP Morgan stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
-0.03
β
Beta against DOW1.39
σ
Overall volatility
1.34
Ir
Information ratio -0.0067

JP Morgan Volatility Alert

JP Morgan Chase has relatively low volatility with skewness of -0.19 and kurtosis of -0.13. However, we advise all investors to independently investigate JP Morgan Chase to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure JP Morgan's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact JP Morgan's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

JP Morgan Fundamentals Vs Peers

Comparing JP Morgan's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze JP Morgan's direct or indirect competition across all of the common fundamentals between JP Morgan and the related equities. This way, we can detect undervalued stocks with similar characteristics as JP Morgan or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of JP Morgan's fundamental indicators could also be used in its relative valuation, which is a method of valuing JP Morgan by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare JP Morgan to competition
FundamentalsJP MorganPeer Average
Return On Equity14.97 %(0.31) %
Return On Asset1.19 %(0.14) %
Profit Margin34.24 %(1.27) %
Operating Margin42.91 %(5.51) %
Current Valuation(244.79 B)16.62 B
Shares Outstanding3.03 B571.82 M
Shares Owned by Insiders0.88 %10.09 %
Shares Owned by Institutions72.79 %39.21 %
Number of Shares Shorted23 M4.71 M
Price to Earning11.95 X28.72 X
Price to Book1.83 X9.51 X
Price to Sales3.85 X11.42 X
Revenue118.48 B9.43 B
Gross Profit102.06 B27.38 B
EBITDA24.78 B3.9 B
Net Income38.83 B570.98 M
Cash and Equivalents1510 B2.7 B
Cash per Share497.67 X5.01 X
Total Debt765.76 B5.32 B
Debt to Equity8.50 %48.70 %
Book Value Per Share82.31 X1.93 K
Cash Flow from Operations(3.69 B)971.22 M
Short Ratio1.87 X4.00 X
Earnings Per Share12.61 X3.12 X
Price to Earnings To Growth8.95 X4.89 X
Number of Employees259.35 K18.84 K
Beta1.18-0.15
Market Capitalization456 B19.03 B
Total Asset2351.7 B29.47 B
Retained Earnings195.57 B9.33 B
Five Year Return2.54 %
Last Dividend Paid3.6
   Acquisition by James Dimon of 1500000 shares of JP Morgan subject to Rule 16b-3 [view details]

About JP Morgan Buy or Sell Advice

When is the right time to buy or sell JP Morgan Chase? Buying financial instruments such as JP Morgan Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although JP Morgan investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2018 2019 2020 2021 (projected)
Cash and Equivalents278.79 B263.63 B527.61 B461.33 B
Total Assets2,622.53 B2,687.38 B3,384.76 B3,244.68 B

Use Investing Ideas to Build Portfolios

In addition to having JP Morgan in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Sports
Sports Theme
Companies in sporting activities arena as well as manufacturers of sporting goods and sport retailers. Sports theme has 25 constituents.
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Please see JP Morgan Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the JP Morgan Chase information on this page should be used as a complementary analysis to other JP Morgan's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Analyst Recommendations module to analyst recommendations and target price estimates broken down by several categories.

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The market value of JP Morgan Chase is measured differently than its book value, which is the value of JP Morgan that is recorded on the company's balance sheet. Investors also form their own opinion of JP Morgan's value that differs from its market value or its book value, called intrinsic value, which is JP Morgan's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because JP Morgan's market value can be influenced by many factors that don't directly affect JP Morgan Chase underlying business (such as pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between JP Morgan's value and its price as these two are different measures arrived at by different means. Investors typically determine JP Morgan value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, JP Morgan's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.