JPMorgan shares fall after stronger-than-expected quarter

JPMorgan reported fourth-quarter results that beat expectations on trading revenue, but the stock fell nearly 3% after a preannounced $2.2 billion reserve and in-line guidance.

JPMorgan posted fourth-quarter results that topped expectations, driven in part by stronger-than-expected trading revenue. The stock fell nearly 3% as investors digested the report. Net profit was reported down 7% to $13.03 billion, or $4.63 per share, after a preannounced $2.2 billion reserve tied to the takeover of the Apple Card loan portfolio from Goldman Sachs. Analysts cited profit-taking and noted that in-line guidance and regulatory questions have tempered the market reaction. Key points: - The stock fell nearly 3% on Tuesday after the company reported fourth-quarter results. - Net profit declined 7% to $13.03 billion, or $4.63 per share, due to a $2.2 billion reserve related to the Apple Card portfolio takeover from Goldman Sachs. - The results beat expectations on trading revenue, according to the article. - The article mentions Bank of America reiterated a favorable rating and said it would use near-term weakness to add to positions, while also noting uncertainty around a proposed 10% interest-rate cap for credit cards. - Piper Sandler estimated core earnings of $5.28 a share excluding one-time items and highlighted beats in net interest income, core credit costs, and expenses. - Evercore ISI said the bank reaffirmed roughly $95 billion of net interest income excluding markets for 2026, about $105 billion in expenses, and card net charge-offs near 3.4%. Summary: The quarter showed operational strength but included a sizable reserve that weighed on reported profit, and guidance was described as largely in-line. Analysts framed the post-report pullback as profit-taking while noting regulatory uncertainty and guidance as continuing influences. Undetermined at this time.