JPMorgan, Other Big Banks Likely to Beat Q2 Earnings Estimates, BofA Securities Says

JPMorgan Chase (JPM) and other big banks including Citigroup (C) and Wells Fargo (WFC) are likely to beat EPS expectations in Q2, supported by capital markets momentum and wealth flows, with potential for positive revisions to H2 and 2027 estimates, BofA Securities said in a Tuesday research report. JPMorgan offers the most asymmetric risk/reward. BofA said it now expects Q2 EPS of $5.59 from $5.48 earlier, citing robust capital markets revenue growth. BofA analysts reiterated their buy rating on the stock and boosted the price target to $408 from $362. Citigroup is discounting considerable return on tangible common equity improvement, which could lead investors to seek better entry points for the stock. BofA said it now expects Q2 EPS of $2.65 from $2.60 earlier. It also maintained its buy rating on the stock and raised its price target to $176 from $170. For Wells Fargo, investors must regain confidence that it can deliver superior growth without materially deviating from the company's 17% to 18% ROTCE target. BofA maintained its Q2 EPS guidance of $1.72 and buy rating on the stock. It also boosted its price target to $102 from $95. For Goldman Sachs (GS), BofA now.