“It is usually interesting when Wall St. brokerage firms and research firms issue analyst coverage on each other. Sometimes the coverage is positive and sometimes it is negative. Many investors likely have to wonder just how much finger-pointing is taking place. Or maybe the analysts are talking up their own firm’s value in disguise.
So far on Wednesday, we have seen two very favorable calls on J.P. Morgan Chase & Co. (NYSE: JPM). The calls are also in favor of Jamie Dimon. Maybe Wall St. firms do not always bash their competitors after all.
Bank of America Corp. (NYSE: BAC), with its Merrill Lynch unit, has maintained its Buy rating and also has raised the price target to $55 from $52. The firm raised earnings estimates to $5.85 from $5.70 for 2013, to $6.00 from $5.92 for 2014, and to $6.10 from $6.05 for 2015.
The research team said:
J.P. Morgan remains the cheapest P/E stock in our coverage universe at 7.9-times expected 2014 earnings, and given 14% tangible return potential, looks cheap on tangible book value as well. Also, if the market continues to sell risk, J.P. Morgan should outperform its peers. Lastly, we continue to get pushback that J.P. Morgan is over-owned, implying no incremental buyers for the stock.
It also said….”
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