Morgan Stanley Earnings Hit by Charges, $286m FIDC and $249m SEC Criminal Investigation

Morgan Stanley reported mixed fourth quarter earnings and revenue before the bell Tuesday. Net income came to $1.52 billion, or 85 cents per share, down more than 30% from $2.24 billion, or $1.26 per share, a year ago. Revenue of $12.9 billion topped analysts’ estimates and rose from $12.75 billion a year ago. This is the first earnings report under new CEO Ted Pick. MS was hit by two one-time regulatory charges, a $286 million charge related to a Federal … Continue reading “Morgan Stanley Earnings Hit by Charges, $286m FIDC and $249m SEC Criminal Investigation”

Goldman Sachs Traders Ride the Stock Market Rally, Equity Trading Revenue Jumped 26% in Q4

Goldman Sachs, America’s largest investment bank reported better than expected fourth quarter earnings Tuesday with profit up 51 per cent. The bank reported a profit of $2.01 billion, or $5.48 per share, for the latest quarter, compared with $1.33 billion, or $3.32 per share, a year earlier. Goldman’s equity traders were on the right side of the recovery in markets. Goldman’s equity trading revenue jumped 26 per cent in the fourth quarter. Revenue from the asset and wealth management business … Continue reading “Goldman Sachs Traders Ride the Stock Market Rally, Equity Trading Revenue Jumped 26% in Q4”

Bank of America Earnings Hit by $1.6 Billion LIBOR and $2.1 Billion FIDC Related Charges

Bank of America, America’s second largest bank reported weaker than expected fourth earnings Friday. BAC net income fell to $3.1 billion, or 35 cents per share, in the quarter, down over 50% from $7.1 billion, or 85 cents per share, a year ago. Revenue of $22.1 billion fell short of Wall Street’s estimates for the first time in two years and was down 10% from the year-ago period. The bank was hit by a pretax charge of $1.6 billion related … Continue reading “Bank of America Earnings Hit by $1.6 Billion LIBOR and $2.1 Billion FIDC Related Charges”

Citigroup Earnings Hit by $4.66 Billion in Charges from Overseas Divestures and Banking Crisis

Citigroup reported better than expected adjusted fourth quarter earnings Friday before the market open along with three of the largest U.S. lenders, Bank of America (BAC), JPMorgan Chase (JPM) and Wells Fargo (WFC). Citi’s institutional services operations, U.S. personal banking and investment banking performed well, according to the bank. However, prior to adjustments, charges of $4.66 billion, or $2 per share hit quarterly earnings and Citigroup posted a $1.8 billion loss for the quarter. The charges were tied to overseas … Continue reading “Citigroup Earnings Hit by $4.66 Billion in Charges from Overseas Divestures and Banking Crisis”

JPMorgan Profit Soars to Record $49.6 Billion in 2023, JPM Hits All Time High

JPMorgan Chase, America’s largest bank kicked off the banking sector’s fourth quarter earnings season on Friday before the market opened beating analyst estimates. 2023 was a record year for full-year net income at $49.6 billion. Fourth-quarter net-interest income of $24.2 billion a record, as did its full-year net-interest income of $90 billion, excluding markets. Looking ahead, JPMorgan expects 2024 net-interest income excluding markets of about $88 billion. That forecast is stronger than the analyst estimates of $86.5 billion. Shares of … Continue reading “JPMorgan Profit Soars to Record $49.6 Billion in 2023, JPM Hits All Time High”

Wells Fargo Warns of Significant Net Interest Income Fall, Books Another $2.9 Billion in Charges

Wells Fargo reported better than expected fourth quarter earnings before the bell Friday. Earnings per share were $1.29, adjusted vs. $1.17 expected and revenue was $20.48 billion vs. $20.30 billion expected. Wells Fargo posted net income for the quarter was $3.45 billion, or 86 cents per share, up slightly from $3.16 billion, or 75 cents a share, a year ago. Wells Fargo shares however fell Friday over 3% after the bank warned that net interest income for 2024 could come … Continue reading “Wells Fargo Warns of Significant Net Interest Income Fall, Books Another $2.9 Billion in Charges”

Morgan Stanley Stock Falls 8% to 52 Week Low After Key Earnings Metrics Miss

Morgan Stanley reported better than expected third quarter earnings and revenue before the bell Tuesday. However in comparison to its peers and metrics such as net interest income falling short of forecasts the stock was sold off. The bank’s investment-banking revenue was weaker than forecasts, again an area where it’s competitors had found some recovery in this quarter. Morgan Stanley’s stock was down almost 8% in morning trading, which is on track for its largest one-day percentage drop since June … Continue reading “Morgan Stanley Stock Falls 8% to 52 Week Low After Key Earnings Metrics Miss”

Goldman Sachs Profits Continue Slide, Drop 33% to $2.06 billion on Consumer, Real Estate Woes

Goldman Sachs, America’s largest investment bank reported third quarter earnings Tuesday, though better than expected were a continuation of falling profits. This has been a horror stretch for the ‘Giant Squid’ with $GS cutting jobs and bonuses at a rate not seen since the financial crisis. Goldman’s quarterly profit dropped less than expected as a recovery in dealmaking offset the $864 million write-down related to its GreenSky fintech business and real estate investments. GS’s net profit slumped 33% to $2.06 … Continue reading “Goldman Sachs Profits Continue Slide, Drop 33% to $2.06 billion on Consumer, Real Estate Woes”

Bank of America Earnings Boosted by Trading as Debt Securities Portfolio Losses at $131.6 bln from $105.8 Billion

Bank of America, America’s second largest investment bank reported better than expected second earnings Tuesday. Three of the largest U.S. lenders, JPMorgan Chase (JPM), Citigroup (C) and Wells Fargo (WFC) reported last Friday. Bank of America reported a profit of 90 cents per share in the quarter, beating analysts’ average expectations of 82 cents per share, according to IBES data from LSEG. Net interest income rose 4% to $14.4 billion (FTE basis). BAC reported unrealized losses of $131.6 billion on … Continue reading “Bank of America Earnings Boosted by Trading as Debt Securities Portfolio Losses at $131.6 bln from $105.8 Billion”

Citigroup Earnings Boosted by Investment Banking and Transaction Services Fees

Citigroup reported better than expected third quarter earnings Friday before the market open along with two of the largest U.S. lenders, JPMorgan Chase (JPM) and Wells Fargo (WFC). All five of Citi’s core businesses, corporate lending; credit cards and US consumer banking; transaction services; buying and selling stocks and bonds; and private banking posted rising revenue. Citigroup was able to benefit from a rebound in investment banking fees, up 34 per cent from a year ago. Citi’s transaction services division … Continue reading “Citigroup Earnings Boosted by Investment Banking and Transaction Services Fees”