Financial Analysis For A Publicly Traded Company

2645 Words Sep 8th, 2014 11 Pages
Table of Contents
Introduction 1
JP Morgan and Chase 1
Business Background 1
Competitors 2
Current Affairs 3
Financial analysis 3
Profitability 3
Net Interest Margin 3
Price-To-Sales Ratios 4
The price-to-earnings ratio 4
Price Earnings Growth (PEG) Ratio 4
Liquidity 5
Leverage Ratio 5
Debt/Equity ratio 5
Return on Equity 6
Operating ratio 7
Return on Average Assets (ROAA) 7
Stock Analysis 7
Dividend yield 8
Earing per share 8
Conclusion and Recommendation 9


The aim of this report is to recommend whether or not a publicly traded company has been is worth investing in. The company chosen in this case is JPMorgan & Chase which is a large financial institution. This report is going to use a financial rational formed
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There are many ratios that are available to analyze a stock however in order to assess a financial institutions I have had to be rather specific and therefore chosen the above.

JP Morgan and Chase

Business Background

JPMorgan Chase is a financial holdings company based in New York City and trades under the ticker symbol JPM. It is currently one of the most diversified and largest banks in the world today. It provides an extensive range of financial services such as consumer banking, investment banking, commercial banking, asset management and private equity services.

Through a series of mergers and acquisitions JPMorgan and Chase became the bank it is today. Chase Manhattan Bank was acquired by Chemical Bank In 1996 and Chemical Bank chose to keep the name Chase. Fourteen years and one financial crisis later JPMorgan Chase had come to include J.P. Morgan & Co. and Bank One. Furthermore JPMorgan acquired Bear Stearns ' highly successful prime brokerage business and Washington Mutual 's deposit base and vast branch network. Furthermore JPMorgan today retains Chase 's pre-1996 stock price history and headquarters.


It 's important to look at the competitors JPM has in order to assess its value as an investment. Its main competition is Bank of America (BAC), Barclays PLC (BCS), and Citigroup (C).

Direct Competitor Comparison JPM BAC BCS C Industry
Market Cap: 224.52B 168.10B 60.85B 157.74B 37.26B
Employees: 245,192 233,000 139,600 244,000
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