JPMorgan Chase & Co. (NYSE:JPM) reported record first quarter earnings before opening bell today, soaring past consensus. The bank reported net income of $6.5 billion or $1.59 earnings per share on $25.8 billion in revenue. Consensus was for $1.39 per share on $25.7 billion in revenue.
“JPMorgan Chase had a very good start to the year,” Dimon said in a statement. “All our businesses had strong performance, and our client franchises did exceptionally well.”
The following is our rough coverage of the 2021 Sohn Investment Conference, which is being held virtually and features Brad Gerstner, Bill Gurley, Octahedron's Ram Parameswaran, Glenernie's Andrew Nunneley, and Lux's Josh Wolfe. Q1 2021 hedge fund letters, conferences and more Keep checking back as we will be updating this post as the conference goes Read More
The bank reported a 17 percent return on tangible common equity, showing strong performance across all businesses. Consumer and community banking deposits rose 10 percent, while mortgage originations jumped 37 percent. Credit card sales volume rose 9 percent.
JPMorgan Chase & Co. (NYSE:JPM)’s corporate and investment bank also reported strong performance and kept its top ranking for global investment banking fees. In addition, asset management recorded positive net long-term client flows for the 16th quarter in a row, setting a record of $31 billion for the first quarter.
Dimon said the bank’s record first quarter earnings are just one sign of many that the U.S. economy is beginning to recover.
“We are seeing positive signs that the economy is healthy and getting stronger,” Dimon said. “Housing prices continued to improve and new home purchases are also starting to come back. We also saw strong performance in our credit card portfolio, with net charge-offs remaining near historic lows, another sign that consumers are healthier and more confident.
JPMorgan Chase & Co. (NYSE:JPM) also said it would raise its dividend 27 percent to 38 cents per share. That pushes the dividend up to its highest level, according to the bank. JPMorgan’s board of directors also authorized the bank to buy back $6 billion of common equity, starting during the current quarter and going through the end of the first quarter of next year.
JPMorgan Chase & Co. (NYSE:JPM)’s much-needed good news comes the same week as bare honesty from CEO Jamie Dimon on the London Whale incident was delivered via the bank’s annual shareholder letter.
As of the moment of this writing, shares of JPMorgan Chase & Co. (NYSE:JPM) were down .93 percent in pre-market trades.