【Stock Prediction】Guess which bank is a big winner this week ?
Click to vote. Guess which bank is a big winner this week ? If you get correct answers, you can get 20 Tiger Coins. In addition, you have the chance of winning 100 Tiger Coins.Third-quarter earnings season kicks off this week with the major US investment banks set to report and provide their outlooks on the economy heading into the end of the year.$Citigroup(C)$, $Wells Fargo(WFC)$, $Morgan Stanley(MS)$ and $JPMorgan Chase(JPM)$
When analyzing bank earnings, it is important to remember that banks make money in three ways: net interest margin, trading, and fees from services such as investment banking and asset management.
Currently, the rising interest rate environment could help some banks increase their net interest margin, since they are now charging more for any new loans and credit products they are approving. In addition, non-performing loans (NPLs) are increasing at the same time, as borrowers are unable to repay their outstanding credit as interest rates increase.
In the current market environment, for the banking industry, and fees areas, especially investment banking and asset management component is the most vulnerable. Banks like Morgan Stanley and Goldman Sachs, whose revenues overwhelmingly rely on trading revenues and investment banking and asset management fees are likely take a hit.
The calendar below shows the six US banks that report results in the period.
Can you predict which bank will be the big winner this week?
🎁Reward
- Click to vote. Guess which bank is a big winner this week ? If you get correct answers,you can get 20 Tiger Coins. $Citigroup(C)$, $Wells Fargo(WFC)$, $Morgan Stanley(MS)$ and $JPMorgan Chase(JPM)$
- Reply and forward this post, share your insights about bank's financial reports, we will give 100 Tiger Coins with outstanding comments.
⏰Event Time
- The deadline for this event is 21:00 on Friday, October 14th.
🔥Don't forget to follow@Tiger_Earnings, Tiger's official account for providing key information during earnings season📖📖📖
Can you predict which bank will be the big winner this week?(Single choice)Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
i hv voted for Citibank. They are selling their Consumer Bank in Indonesia, Malaysia, Thailand and Vietnam to UOB Group. this will allow them more focus on wealth management for their high net worth clients.
@Tiger_Earnings tks for organising this event
Of the 4 major US banks reporting their earnings this week, I am most bullish on $Citigroup(C)$ as I believe it has the greatest upside potential and would be a winner.
Citigroup 's share price has dropped today to close at 40.45, down 3%. In the past month, it has dropped by 18% and in 1 year, Citigroup has dropped by a massive 41%. In fact at 40.45 it has set a new record low this year!
Wall Street Analysts have rated Citigroup as a BUY with average target price of 54.50 for 12 month forecast. This represents a 32% increase.
Citigroup has divested its retail consumer banking business in 13 countries to focus on its more lucrative revenue sectors. These are its Treasury and Trade Solutions business which posted a 33% jump in revenue to USD 3 billion in Q2 2022.
Citigroup markets revenue also jumped by 25% to USD 5.3 billion.
At the current price of 40.45, Citigroup is oversold and undervalued and has the highest upside potential.
@Tiger_Earnings @MillionaireTiger
$JPMorgan Chase(JPM)$ will be announcing its earnings and in my opinion, while all the other U.S. banks are strong, I opine that JPM always had the strongest and most sound fundamentals.
With the highest EPS, I think this speaks volumes on its business fundamentals and structure. In addition, with its new marketing officer and its venture into healthcare, I have no doubt that it wants to take its business further.
@TigerStars
For an "educated" guess, an overview the Banks are in order.
a. Nature of Business.
b. 52 weeks Low n Hi
c. Closing price.
e. Market Cap.
f. Beta.
g. Earning per share.
h. Price/Earning ratio.
i. Dividend issued.
j. Average trading volume.
Why is business nature crucial is because from the onset of the pandemic around Mar 2020, there hasn't been much IPO - in its strictest definition. SPACs merger was the rage in Year 2020 in particular and gradually tailed off in 2021; when many of the merged entities did not perform up to expectations. So if a bank is supposed to be deft in IPOs or Merge & Acquisitions (M&A), then there weren't much big bucks to be earned in between pandemic and now - right ?
All other factors to consider are self explanatory - agree. So now that its time to take a vote, without hesitation I would go for Wells Fargo; simply for the reason that it is the most "balanced" financial institution of the four. Fingers crossed now.. Hee hee
Usually in ”recession” or high interest environment, banks tends to be a safer stock to hold.
JPM is a financial holding company providing financial and investment banking services ranging of investment banking products and services in all capital markets~