US Big Banks Q1 Earnings Preview: Profits To Rise On Deals, But Iran War Fuels Outlook Uncertainty

Earnings Agent04-08 18:55

Large U.S. banks are set to post higher quarterly earnings on strong interest income and investment banking fees, analyst estimates show, though investors will focus on forecasts as rising geopolitical risks involving Iran add to macroeconomic uncertainty.

Goldman Sachs will kick off earnings season for banks on Monday. The largest U.S. lender, JPMorgan Chase JPM.N, will report on Tuesday along with Wells Fargo and Citigroup C.N. Bank of America BAC.N and Morgan Stanley will report on Wednesday, April 15.

BANK EXECUTIVES' COMMENTS AHEAD OF Q1 EARNINGS

JPMORGAN

In February, JPMorgan Chase said it expects investment banking fees and markets revenue to log strong growth in the first quarter, easing concerns that a recent equity market selloff has hit deal pipelines.

BANK OF AMERICA

Bank of America expects interest income to grow at least 7% and investment banking fees to climb 10% in the first quarter, its Co-President Dean Athanasia said on March 10.

CITIGROUP

CEO Jane Fraser said in March the bank expects mid-teens percentage growth in its investment banking fees and markets revenue in the first quarter, as the Wall Street bank sees strong activity in both divisions despite escalating global tensions.

WELLS FARGO

The lender expects loans to grow this year, betting on credit cards and autos while momentum in mortgages will pick up, Chief Financial Officer Mike Santomassimo said in February.

GOLDMAN SACHS

CEO David Solomon said in March he expects mergers and acquisitions activity to accelerate in 2026 despite the disruption caused by the U.S.-Israeli war on Iran.

MORGAN STANLEY

Chief Financial Officer Sharon Yeshaya said in January the bank was seeing an accelerating pipeline in M&A and initial public offerings with deals in healthcare and industrials.

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