JP Morgan Chase & Co (JPM)

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.

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. 

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.

Is large and profitable. The CEO led the bank through 2008 and has made many good moves over the years. A long-term holding and the best US banks he owns.

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

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.

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

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.

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.

Favours Canadian banks. But if you had to own one, this would probably be the first one to look at. In a league unto itself. Probably best bank in the world.

This week, they reported a terrific quarter: a huge sales and earnings beat with all 3 business units performing better than expected, especially the business and investment side. This saw 18% revenue growth, driven by a 49% increase in investment banking fees. Spending came in lower than expected, and they raised their 2025 net interest forecast while maintaining its expense guidance. Their CEO sees more growth in business, overall.

Banks earnings happen next Wednesday: JPM, Goldman, Wells Fargo and Citi. He expects good reports from all. The expected increase in M&A will benefit all. These stocks are off their highs at very low PEs. He's been buying them.

Likes US financials, sector is underowned. Financials will benefit from US pro-business policies, less regulation, and more M&A activity. 200-day MA is going higher, and price is above that. 200-week MAs are starting to turn up. 

See his Top Picks.

Regulators and politicians like the CEO, so JPM gets good deal when the banking sector faces challenges, like picking up assets at an attractive price. Have the best credit profile; their credit cards outperform. The dividend grows at 7%.  If US interest rates don't decline a lot, then load demand will drive JPM's business.

No real growth. The banks each take their turn to shine, and you want to buy them at different times.