The Top 2 Banks in the US After Q1 2016
Big banks seem to get bigger and bigger, and after Q1 2016, there are some impressive figures from the top 2 banks in the United States.
1. JPMorgan Chase (JPM)
JPMorgan is the biggest bank in the country despite the company contracting year over year. JPMorgan posted assets of $2.42 trillion, down from $2.58 trillion a year prior. JPMorgan had mounting legal fees on the quarter, but received good news when a lawsuit tied to fraudster Bernie Madoff was dismissed last week.
The bank further increased its dividend payout last week by 9%, pushing the company’s stock higher.
JPMorgan’s dividend will be $0.48 cents a share, or 3.1%.
2. Bank of America (BAC)
Bank of America remains the second largest bank in the country, and the bank added $50 billion to its balance sheet last quarter. A rising balance sheet shows the company may have put the financial crisis behind them and is moving forward with its operations.
The company is also in the midst of potential lawsuits over Libor as the US appeals court revived the Libor lawsuits on Tuesday.
Bank of America had a $1.27 billion fine overturned on Monday. The bank beat analyst estimates of $0.20 EPS after posting $0.21 EPS. The company has outpaced expectations despite investment banking fees falling 22% and trading revenues slipping 16%. The company fared fairly well due mostly to the quality of their portfolio.
Trading below its market value, Bank of America has recovered slower than its rivals since the financial crisis, but has performed well in Q1, showing that the company will be on an uptick.
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