Nomura Securities on U.S. Brokers and Universal Banks: JPM and GS May Show Differentiation in 1Q
Tweet
Share
E-mailGet Alerts JPM Hot Sheet
Price: $351.58 +0.01%
Rating Summary:
22 Buy, 25 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
22 Buy, 25 Hold, 1 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Join SI Premium – FREE
Nomura Securities on U.S. Brokers and Universal Banks: JPM and GS May Show Differentiation in 1Q
Analyst, Glenn Schorr, said, "JPMorgan (NYSE: JPM) and Goldman Sachs (NYSE: GS) may benefit the most from risk rally in 1Q. Risk assets were generally bid higher in 1Q12 and these price moves and rebound in volumes should lead to decent FICC trading results and help to offset some of the volume headwinds in equity trading. We developed a relative ranking of who is likely to benefit most from the positive price moves in 1Q12. JPM was at the high end of the group as it came into 1Q12 with $300bn of net trading assets (net long and short positions), followed by GS with $218bn of net trading assets. Morgan Stanley (NYSE: MS) ($135bn) and Bank of America (NYSE: BAC) ($116bn) were at the lower end of the range, while Citi ($166bn) was in the middle of the pack. We think JPM and Goldman have retained their edge in committing capital for clients throughout the cycle. This differentiation could lead to multiple expansion for GS and JPM in the coming months. Our top picks among the brokers and universal banks remain GS, JPM, and Citi (NYSE: C)."
Analyst, Glenn Schorr, said, "JPMorgan (NYSE: JPM) and Goldman Sachs (NYSE: GS) may benefit the most from risk rally in 1Q. Risk assets were generally bid higher in 1Q12 and these price moves and rebound in volumes should lead to decent FICC trading results and help to offset some of the volume headwinds in equity trading. We developed a relative ranking of who is likely to benefit most from the positive price moves in 1Q12. JPM was at the high end of the group as it came into 1Q12 with $300bn of net trading assets (net long and short positions), followed by GS with $218bn of net trading assets. Morgan Stanley (NYSE: MS) ($135bn) and Bank of America (NYSE: BAC) ($116bn) were at the lower end of the range, while Citi ($166bn) was in the middle of the pack. We think JPM and Goldman have retained their edge in committing capital for clients throughout the cycle. This differentiation could lead to multiple expansion for GS and JPM in the coming months. Our top picks among the brokers and universal banks remain GS, JPM, and Citi (NYSE: C)."
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Beike (BEKE) PT Raised to $23 at Morgan Stanley
- Mizuho Reiterates Outperform Rating on Broadcom Limited (AVGO) Into EPS
- Robo.ai names Hao Wang of Changer.ae to its board of directors
Create E-mail Alert Related Categories
Analyst CommentsRelated Entities
JPMorgan, Citi, Morgan Stanley, NomuraSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
