JPMorgan Chase, Citigroup, Wells Fargo News Today

JPMorgan Chase, Citigroup, and Wells Fargo stocks are in the news today

by Karee Venema |

Published on Apr 13, 2017 at 9:54 AM

Stocks are on track to close out the holiday-shortened week on a down note after President Donald Trump chimed in on the dollar. Among specific equities in focus are financial shares JPMorgan Chase & Co. (NYSE:JPM)Citigroup Inc (NYSE:C), and Wells Fargo & Co (NYSE:WFC), as bank earnings get underway. Here's a quick roundup of how quarterly results are moving shares of JPM, C, and WFC.

JPMorgan Chase Earnings Impress

JPM stock is trading up 0.8% at $86.09, after the big bank posted stronger-than-expected first-quarter earnings, thanks to a fourth straight quarterly rise in trading revenue. On the charts, JPM has been a long-term outperformer, up nearly 38% year-over-year. What's more, the stock's recent pullback from its March 1 record high at $93.98 was contained near $85.25 -- a 23.6% Fibonacci retracement of JPMorgan Chase & Co.'s June-to-March rally. Nevertheless, the majority of analysts maintain a "hold" or "strong sell" rating on JPM stock. This leaves the door open for upgrades, which could draw fresh buyers to the table.

Citigroup Stock Edges Higher After Mixed Earnings Report

C stock is up 0.7% at $58.91, even after the financial firm's first-quarter revenue fell short of the consensus estimate -- though, profit came out on top. Longer term, though, C stock has been retreating since hitting an eight-year high of $62.53 on March 8, and has now slipped below its 100-day moving average. Short sellers, meanwhile, have all but erased their exposure to Citigroup Inc, with short interest plunging 23.1% in the two most recent reporting periods. These bearish bets now account for less than 1% of C's available float, meaning there's little sideline cash available to help fuel any future rally attempts for the security.

Earnings, Buffett Stake Sale Send Wells Fargo Stock Lower

WFC stock has dropped 2.3% to trade at $51.92, after the U.S. bank reported mixed quarterly results. Specifically, Wells Fargo & Co profit came in above estimates, but the top line missed on rising costs and lower mortgage banking revenue. Separately, Warren Buffett's Berkshire Hathaway Inc. (NYSE:BRK.A) said it is selling roughly 1.9 million shares of WFC to keep its stake below 10% -- and avoid some Federal Reserve regulations. Though WFC stock managed to shake off last year's account scandal and surge with its sector peers amid the Trump rally, the shares have shed 13.5% since hitting a record high of $59.99 on March 1. Short-term options traders, meanwhile, have rarely been as put-skewed toward WFC as they are now, per its Schaeffer's put/call open interest ratio (SOIR) of 1.37 -- in the 96th annual percentile.
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