Finance
JPMorgan Tempers Earnings Optimism, Leading Bank Stocks Down
- Net interest income forecast ‘not very reasonable,’ Pinto says
- Note of caution follows similar warnings from Goldman Monday
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JPMorgan Chase & Co. shares fell the most in more than four years, leading bank stocks lower, after President Daniel Pinto said analysts are being too optimistic in projecting next year’s expenses and net interest income.
The current NII estimate of $89.5 billion is “not very reasonable” given interest-rate expectations, Pinto said at an industry conference Tuesday. The figure “will be lower,” he said, sending the stock down as much as 7.5%. That was the biggest intraday tumble since June 2020.