All articles tagged with #net interest income
Originally Published 2 months ago — by CNBC
HSBC's third-quarter profit declined 14% to $7.3 billion but exceeded expectations, driven by a 15% rise in net interest income, despite higher operating expenses and legal provisions related to the Madoff case. The bank also announced plans to privatize Hang Seng Bank, highlighting confidence in Hong Kong's financial sector.
Originally Published 5 months ago — by Yahoo Finance
Goldman Sachs reported strong Q2 earnings with net revenue of $14.58 billion, a 15% YoY increase, and a record $3.29 trillion in Assets Under Supervision, driven by market gains and inflows. Net interest income surged 56% to $3.10 billion, and the firm returned nearly $4 billion to shareholders, including a dividend increase.
Originally Published 6 months ago — by TipRanks
Wells Fargo's stock fell over 3% after its Q2 net interest income missed expectations due to lower rates on floating assets, prompting a downward revision of its full-year outlook. Despite beating revenue and earnings estimates, the bank's profit growth was supported by lower credit loss provisions, and with the asset cap lifted, analysts see potential for growth, though the stock has a moderate buy rating with limited upside.
Originally Published 1 year ago — by MarketWatch
Charles Schwab's stock plummeted nearly 7%, marking its worst day in 16 months, after missing net interest income estimates and issuing a revenue growth outlook below Wall Street expectations. In contrast, Bank of America and Morgan Stanley saw their stocks rise due to stronger-than-expected earnings.
Originally Published 1 year ago — by Yahoo Finance
Bank of America shares rise in pre-market trading due to expected increase in net interest income for Q4, while Morgan Stanley shares fall as its wealth management net revenue missed estimates by $70 million.
Originally Published 1 year ago — by Investor's Business Daily
Bank of America stock rose 3.8% after the bank reported Q2 earnings that slightly beat expectations despite a 5.7% profit decline. Revenue increased by 1% to $25.4 billion, surpassing analyst estimates. Other financial firms like PNC Financial Services, Morgan Stanley, and State Street also reported earnings, with mixed stock performance.
Originally Published 1 year ago — by CNBC
Bank of America reported better-than-expected second-quarter earnings and revenue, driven by rising investment banking and asset management fees. The bank posted earnings of 83 cents per share and revenue of $25.54 billion, surpassing estimates. Despite a 6.9% drop in profit from the previous year, the results were bolstered by a rebound in Wall Street activity. CEO Brian Moynihan had previously indicated that net interest income would bottom in the second quarter, a key metric closely watched by investors.
Originally Published 1 year ago — by Yahoo Finance
Shares of major banks JPMorgan Chase & Co., Wells Fargo, and Citigroup opened trading under pressure due to a decline in net interest income, reflecting the difference between the interest banks earn and pay out. JPMorgan CEO Jamie Dimon expressed concerns about consumer spending pressures and maintained the bank's net interest income outlook, while also noting a potential pullback in spending among low-income consumers amidst an uncertain economic environment.
Originally Published 1 year ago — by Yahoo Finance
JPMorgan Chase's profits rose 6% in the first quarter, surpassing expectations, but CEO Jamie Dimon warned of "persistent inflationary pressures" and other uncertain forces ahead for the US economy. The bank's revenue also increased by 9%, with a boosted estimate of net interest income for the full year. However, concerns arose as JPMorgan's stock fell over 2% in pre-market trading, and its net interest income dropped 4% from the previous quarter. The results set the stage for an earnings season where banks will strive to demonstrate resilience amid dimming hopes of lower interest rates from the Federal Reserve.
Originally Published 1 year ago — by Bloomberg
JPMorgan's shares fell after reporting that its net interest income slightly missed analyst estimates, indicating that the benefit of higher interest rates may be diminishing. The firm earned $23.1 billion in NII in the first quarter of 2024, up 11% from a year earlier, but lifted its guidance excluding the markets business to about $89 billion. Chief Financial Officer Jeremy Barnum stated that the lower expected markets-related NII would be "bottom-line neutral."
Originally Published 2 years ago — by The Wall Street Journal
Major banks like JPMorgan Chase, Wells Fargo, and Citigroup are expecting a challenging year for net interest income, with projections ranging from flat to a potential decline of 7-9% compared to 2023, indicating a tough outlook for lending as a core part of their business.
Originally Published 2 years ago — by CNBC
Wells Fargo's fourth-quarter profit rose, with revenue reaching $20.48 billion, slightly exceeding expectations. However, the bank warned of a potential significant decrease in net interest income for 2024. The increase in profit was attributed to higher interest rates and cost-cutting measures, but was offset by charges from an FDIC special assessment and severance expenses. The bank also reported a decline in net interest income and an increase in provisions for credit losses. CEO Charlie Scharf expressed confidence in the bank's future performance, despite sensitivity to interest rates and the U.S. economy.
Originally Published 2 years ago — by MarketWatch
JPMorgan Chase's fourth-quarter net income dropped to $9.3 billion, impacted by a $2.9 billion special assessment by the FDIC, but its adjusted profit beat analyst estimates at $3.97 a share, with reported revenue rising to $38.57 billion. The bank remains cautious due to global conflicts and expects 2024 net interest income to be about $88 billion. JPMorgan's stock rose by 2.1% in premarket trading, and its earnings come amidst a busy day for bank updates, with Wells Fargo, Citigroup, and Bank of America also reporting their fourth-quarter results.
Originally Published 2 years ago — by CNBC
Regional banks experienced a significant sell-off as weak quarterly earnings reports highlighted the negative impact of higher interest rates. The SPDR S&P Regional Banking ETF (KRE) fell 2.5%, with Regions Financial leading the decline with a more than 12% drop. Several other banks, including Comerica and Fifth Third Bancorp, also tumbled by 5% or more. The banks warned of further declines in net interest income (NII) due to rising rates, which could lead to losses on bond portfolios and funding pressures. The Federal Reserve's commitment to keeping rates higher for longer to combat inflation adds to the concerns.
Originally Published 2 years ago — by The Wall Street Journal
Bank of America and other big banks are experiencing a decrease in the burden of bondholdings, as higher interest rates begin to benefit their net interest income. However, Bank of America's growth in this area is slower compared to its peers.