JP Morgan Stock Story

JPM -  USA Stock  

USD 145.08  1.45  0.99%

It appears without question that JP Morgan may not recover as fast as we have hopped for as its price went down 0.12% today. The entity current daily volatility is 1.25 percent, with a beta of -0.09 and an alpha of 0.03 over DOW. While some millenniums are indifferent towards current market swings, it makes sense to summarize JP Morgan Chase based on its technical indicators. Why are we still confident in our projection for a recovery.
Published over a week ago
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Will JP Morgan (NYSE:JPM) volatility hike before February
JP Morgan Chase has roughly 1540 B in cash with (35.06 B) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 519.96.
JP Morgan has performance score of 2 on a scale of 0 to 100. The company owns a Beta (Systematic Risk) of -0.0886, which attests to not very significant fluctuations relative to the market. Let's try to break down what JP Morgan's beta means in this case. As returns on the market increase, returns on owning JP Morgan are expected to decrease at a much lower rate. During the bear market, JP Morgan is likely to outperform the market. Although it is extremely important to respect JP Morgan Chase existing price patterns, it is better to be realistic regarding the information on equity price patterns. The way in which we are determining future performance of any stock is to evaluate the business as a whole together with its past performance, including all available fundamental and technical indicators. By inspecting JP Morgan Chase technical indicators, you can at this moment evaluate if the expected return of 0.0355% will be sustainable into the future. JP Morgan Chase today owns a risk of 1.25%. Please check out JP Morgan Chase maximum drawdown, and the relationship between the information ratio and expected short fall to decide if JP Morgan Chase will be following its current price history.
Investing in JP Morgan, just like investing in any other equity instrument, is characterized by a strong risk-return correlation. High risks mean high returns and low risk means lower expected returns. Risk management is the act of identifying and assessing the potential risk and developing strategies to minimize these risks and earn maximum possible profits while holding JP Morgan along with other instruments in the same portfolio. Using conventional technical analysis and fundamental analysis to select individual securities into a portfolio complements risk management and adds value to overall investors' investing strategies.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of JP Morgan's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of JP Morgan in the context of predictive analytics.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as JP Morgan. Your research has to be compared to or analyzed against JP Morgan's peers to derive any actionable benefits. When done correctly, JP Morgan's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in JP Morgan Chase.

How important is JP Morgan's Liquidity

JP Morgan financial leverage refers to using borrowed capital as a funding source to finance JP Morgan Chase ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. JP Morgan financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between JP Morgan's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
It is good to see analyst projects for JP Morgan, but it might be worth checking our own buy vs. sell analysis

JP Morgan Correlation with Peers

Investors in JP Morgan can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in JP Morgan Chase. Diversification will allow for the same portfolio return with reduced risk. The correlation table of JP Morgan and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities JP Morgan is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with your current brokerage.
Please check volatility of JP Morgan for more details

Going after JP Morgan Financials

We consider JP Morgan very steady. JP Morgan Chase retains Efficiency (Sharpe Ratio) of 0.0284, which attests that the entity had 0.0284% of return per unit of price deviation over the last 3 months. Our outlook to determining the volatility of a stock is to use all available market data together with stock-specific technical indicators that cannot be diversified away. We have found twenty-seven technical indicators for JP Morgan, which you can use to evaluate the future volatility of the firm. Please check out JP Morgan Chase Market Risk Adjusted Performance of (0.26), standard deviation of 1.29, and Semi Deviation of 1.16 to validate if the risk estimate we provide is consistent with the expected return of 0.0355%.
Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

JP Morgan has 63 percent chance to pull down below $165 in 30 days

The downside variance is down to 1.42 as of today. JP Morgan Chase has relatively low volatility with skewness of 0.16 and kurtosis of 0.31. 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 Implied Volatility

JP Morgan's implied volatility exposes the market's sentiment of JP Morgan Chase stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if JP Morgan's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that JP Morgan stock will not fluctuate a lot when JP Morgan's options are near their expiration.

When is the right time to buy or sell JP Morgan Chase? Buying stocks such as JP Morgan isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
With a relatively neutral outlook on the new economy, it is better to hold off any trading of JP Morgan as the current risk-reward utility is not appealing enough. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to JP Morgan.

Editorial Staff

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of JP Morgan Chase. Please refer to our Terms of Use for any information regarding our disclosure principles.

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