JPMorgan beats analysts’ profit estimates as the bank sets aside less for loan losses
JPMorgan Chase posted earnings that beat analysts’ estimates for the top and bottom lines.
00:54 U.S. futures point to mixed open as earnings come into focus Morning Report
Check out the companies making headlines before the bell:
Johnson & Johnson (JNJ) – The medical-device and drug maker reported adjusted quarterly earnings of $2.20 per share, beating the consensus estimate of $1.98, with revenue also coming in above consensus. Johnson & Johnson said a faster-than-expected recovery in procedures using its medical devices was among the positive factors during the quarter, in addition to higher demand for its cancer drugs. Separately, J&J paused a clinical trial of its COVID-19 vaccine candidate due to an unexplained illness experienced by a participant in the study. J&J shares were lower by 1.8% in premarket trading as of 7:30 a.m. ET.
BlackRock (BLK) – The world’s largest asset manager earned an adjusted $9.22 per share for the third quarter, well above the consensus estimate of $7.80. Revenue was also above Wall Street forecasts, helped by higher fees. BlackRock also saw $129 billion in inflows during the quarter, with strength in fixed income and cash management. BlackRock shares were higher by 7% in premarket trading as of 7:30 a.m. ET.
JPMorgan Chase (JPM) – The bank reported a third-quarter profit of $2.92 per share, compared to a consensus estimate of $2.23, with revenue also above forecasts. JPMorgan Chase also set aside $611 million for possible credit losses during the quarter, less than what Wall Street analysts had predicted. JPMorgan shares added 1.6% in premarket trading as of 7:30 a.m. ET.
Walt Disney (DIS) – Disney announced a reorganization that will prioritize the delivery of streaming video content. Disney is creating content groups for sports, general entertainment and movies, and is creating a distribution arm to determine the best platform for any given content. Disney shares rose 4.3% in premarket trading as of 7:30 a.m. ET.
Royal Caribbean (RCL) – The cruise line operator announced an offering of $500 million in common stock as well as $500 million in senior convertible notes, as it raises cash to fund its operations while its cruise ships remain sidelined due to the pandemic. The shares fell 5.9% in premarket trading as of 7:30 a.m. ET.
Amazon.com (AMZN) – Amazon kicked off its two-day “Prime Day” shopping event, after a delay from its usual summer date due to the Covid-19 pandemic.
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Apple (AAPL) – Apple will hold a virtual product event later today, at which it’s expected to unveil new 5G-enabled iPhones. The event will begin at 1:00 p.m. ET. Japan’s Nikkei news service reports that Apple suppliers are ramping up production to make sure there are sufficient supplies on store shelves after the phones are introduced. Apple added 1.6% in premarket trading as of 7:30 a.m. ET.
Tesla (TSLA) – Tesla cut the price of its Model S “Long Range” sedan by 4% in the United States, to $71,990 from $74,990.
Beyond Meat (BYND) – The plant-based food maker was downgraded to “underperform” from “market perform” at Bernstein, saying the stock’s valuation is “stretched” after its recent runup. Bernstein does say that recent developments are incrementally positive and that the longer-term outlook is still solid. The shares lost 4% in premarket trading as of 7:30 a.m. ET.
Ethan Allen (ETH) – The furniture retailer expects to report a fiscal first-quarter profit, compared to analyst expectations of a quarterly loss, as well as revenue above Street forecasts. The company said it was seeing significant growth both In its physical locations and in online sales. Ethan Allen is scheduled to report on October 29. The shares jumped 12% in premarket trading as of 7:30 a.m. ET.
Exelon (EXC) – Exelon is considering a breakup that would separate its non-utility assets, according to a Bloomberg report. Those include nuclear reactors as well as solar, wind and natural gas generating assets.
Ford (F) – After rising nearly 6% on an analyst upgrade at Benchmark Monday, Ford is the subject of a short-term “Catalyst Call” buy recommendation at Deutsche Bank. As Benchmark did, Deutsche Bank is praising the new management team as well as expecting upbeat third-quarter results. Ford added 2.7% in premarket trading as of 7:30 a.m. ET.
Foot Locker (FL) – The athletic apparel and footwear retailer saw its stock receive a double upgrade at BofA Securities, to “buy” from “underperform”, with the priced target raised to $50 per share from $20. The firm notes a significant positive momentum improvement during September and October, thanks to back-to-school sales and strong performance by Nike (NKE) products. Shares were up 3% in premarket trading as of 7:30 a.m. ET.
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