Michael Decter JP Morgan Chase & Co JPM-N TOP PICK Feb 18, 2025

Huge move up on Trump bump. Yield curve's in better shape than it's been for a long time. Net interest margins are better. The space will see lots more M&A. Will go higher if the space does. Trades at 13x for only 7% growth, not a good deal for a bank. He'd look at Citi instead.

Highest quality, Jamie Dimon, gold standard. Don't buy at these prices.

Likes them both, as well as others in the sector. Don't look at the chart and not buy because it's gone up so much and you've "missed" the price move. Instead, look at the fundamentals -- have earnings, cashflow, revenue growth kept up with the price? Or, look to how it's trading against historical valuations.

This one is up against the upper end of its historical valuation, trading at about 2x book. Somewhat extended, but a great franchise. Good economy, reduced regulation. Unlike other areas of the market, valuations in financials are not extended, so there's opportunity.

Likes US financials and thinks this name will do well. See his Top Picks.

Unmatched on risk management, balance sheet, and operating capabilities. This is his go-to name for US banks, but the valuation at 15x is too rich. If your heart's set on a US bank, wait for a bit of a pullback. Instead, he'd look at BNS or TD.

See his Top Picks.

It's the higher for longer trade. Banking is the best non-tech sector. Banks don't need rate cuts for financials to thrive.

US economy did better last year than expected. Waiting for a pullback to add new client money. Best-in-class US bank. Very strong balance sheet and management team.

The best. Still his choice today. Learn this lesson from him: stay with the best-run business in the industry, management that has the most skin in the game and knows how to create value. Winners keep on winning. 

Wonderful bank and CEO. Conservatively run. Premium bank, and you're paying a premium for it. Wouldn't buy at this valuation, but definitely a go-to name he'd like to own if it corrected a lot more.

Her top choice in the financial sector.