JP Morgan Stock Valuation

JPM -  USA Stock  

USD 150.64  0.29  0.19%

What is the enterprise value of JP Morgan? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as JP Morgan, is its stock price multiplied by the total number of shares outstanding, calculating JP Morgan's enterprise value requires a different approach. It uses JP Morgan's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
The value of Free Cash Flow is estimated to pull down to about (82 B). The Enterprise Value is projected to pull down to about 450.4 B.
JP Morgan Chase owns a latest Real Value of $159.58 per share. The recent price of the firm is $150.64. At this time, the firm appears to be undervalued. Our model calculates the value of JP Morgan Chase from inspecting the firm fundamentals such as Operating Margin of 42.91 %, return on asset of 1.19 %, and Shares Owned by Insiders of 0.88 % as well as reviewing its technical indicators and Probability Of Bankruptcy. In general, we encourage acquiring undervalued equities and dropping overvalued equities since, sooner or later, asset prices and their ongoing real values will blend.

Search Valuation 

 
Refresh
JP Morgan Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as JP Morgan's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.
Undervalued
Today
150.64
26th of July 2021
Share
JP Morgan is very steady asset. Calculation of real value of JP Morgan Chase is based on 3 months time horizon. Increasing JP Morgan Chase time horizon generally increases accuracy of value calculation and significantly improves predictive power of the methodology used.
Our valuation method for JP Morgan Chase is useful when determining the fair value of the JP Morgan stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of JP Morgan. Since JP Morgan is currently traded on the exchange, buyers and sellers on that exchange determine the market value of JP Morgan Stock. However, JP Morgan's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
135.58
Downside
159.58
Real Value
160.92
Upside
Estimating the potential upside or downside of JP Morgan Chase helps investors to forecast how JP Morgan stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of JP Morgan more accurately as focusing exclusively on JP Morgan's fundamentals will not take into account other important factors:
Earnings
Estimates (8)
LowProjected EPSHigh
13.6414.0614.86
Details
Hype
Prediction
LowEstimated ValueHigh
149.30150.63151.96
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
1.191.201.21
Details
14 Analysts
Consensus
LowTarget PriceHigh
135.00165.50200.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. Some money managers use JP Morgan's intrinsic value based on its ongoing forecasts of JP Morgan's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by look to relative valuation against JP Morgan's closest peers. When choosing a valuation method JP Morgan Chase, make sure it is appropriate for the firm given its current financial situation and market classification. If more than one is valuation category is appropriate, we suggest using both methods to arrive at a better estimate.

JP Morgan Investments

2.48 TrillionShare

JP Morgan Valuation Drivers Correlation

Many accounts on the financial statements of JP Morgan Chase are highly interrelated and sometimes correlated. Consequently, when conducting JP Morgan's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of JP Morgan
Click cells to compare fundamentals

JP Morgan Market Cap

JP Morgan Chase is currently regarded as number one stock in market capitalization category among related companies. Market capitalization of Banks—Diversified industry is currently estimated at about 489.86 Billion. JP Morgan totals roughly 456 Billion in market capitalization claiming about 93% of stocks in Banks—Diversified industry.
Capitalization  Workforce  Valuation  Total debt  Revenue

JP Morgan Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining JP Morgan's current stock value. Our valuation model uses many indicators to compare JP Morgan value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across JP Morgan competition to find correlations between indicators driving JP Morgan's intrinsic value. More Info.
JP Morgan Chase is rated second overall in price to sales category among related companies. It is currently regarded as number one stock in last dividend paid category among related companies creating about  0.94  of Last Dividend Paid per Price to Sales. The ratio of Price to Sales to Last Dividend Paid for JP Morgan Chase is roughly  1.07 

About JP Morgan Valuation

The equity valuation mechanism determines the current worth of JP Morgan Chase on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of JP Morgan Chase. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of JP Morgan Chase based exclusively on its fundamental and basic technical indicators. By analyzing JP Morgan's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of JP Morgan's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of JP Morgan. We calculate exposure to JP Morgan's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to JP Morgan's related companies.
Last ReportedProjected for 2021
Gross Profit119.5 B122.1 B
Profit Margin 0.23  0.25 
JPMorgan Chase Co. operates as a financial services company worldwide. JPMorgan Chase Co. was founded in 1799 and is headquartered in New York, New York. JP Morgan operates under BanksDiversified classification in the United States and is traded on New York Stock Exchange. It employs 259350 people.

JP Morgan Quarterly Enterprise Value

479.02 BillionShare

JP Morgan Dividends Analysis For Valuation

The value of Payment of Dividends and Other Cash Distributions is expected to pull down to about (13 B). The value of Dividend Yield is estimated to pull down to 0.0276. JP Morgan Earning Before Interest and Taxes EBIT is relatively stable at the moment as compared to the past year. The company's current value of Earning Before Interest and Taxes EBIT is estimated at 35.7 Billion. Price to Earnings Ratio is expected to hike to 14.43 this year, although the value of Earnings per Basic Share will most likely fall to 8.40.
Last ReportedProjected for 2021
Payment of Dividends and Other Cash Distributions-12.7 B-13 B
Dividend Yield 0.028  0.0276 
Dividends per Basic Common Share 3.60  2.95 
There are various types of dividends JP Morgan can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of JP Morgan shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from JP Morgan Chase directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When JP Morgan pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of JP Morgan by the value of the dividends paid out.

JP Morgan Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as JP Morgan does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Earnings Quarterly Growth399.10%
Revenue Growth82.10%
Payout Ratio28.57%
Earnings Growth476.90%
Enterprise Value To Revenue-2.07

JP Morgan Current Valuation Indicators

Valuation refers to the process of determining the present value of JP Morgan Chase and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value JP Morgan we look at many different elements of the entity such as JP Morgan's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Please see Risk vs Return Analysis. 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 Focused Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.

Complementary Tools for JP Morgan Stock analysis

When running JP Morgan Chase price analysis, check to measure JP Morgan's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy JP Morgan is operating at the current time. Most of JP Morgan's value examination focuses on studying past and present price action to predict the probability of JP Morgan's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move JP Morgan's price. Additionally, you may evaluate how the addition of JP Morgan to your portfolios can decrease your overall portfolio volatility.
Analyst Recommendations
Analyst recommendations and target price estimates broken down by several categories
Go
Instant Ratings
Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance
Go
Transaction History
View history of all your transactions and understand their impact on performance
Go
Idea Breakdown
Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes
Go
CEO Directory
Screen CEOs from public companies around the world
Go
Focused Opportunities
Build portfolios using our predefined set of ideas and optimize them against your investing preferences
Go
Technical Analysis
Check basic technical indicators and analysis based on most latest market data
Go
Content Syndication
Quickly integrate customizable finance content to your own investment portal
Go
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Go
Fundamentals Comparison
Compare fundamentals across multiple equities to find investing opportunities
Go
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.