With a number of other financials, JPMorgan (JPM) and CitiBank (C) will report their Q2 ’26 quarterly financial results on Tuesday morning, July 14th, 2026, before the opening bell.
Here’s the banks / financials that are reporting Tuesday morning, before the open, and their YTD total returns as of Friday, July 10th, 2026:
- JPMorgan: +5.82%
- CitiBank: +21.68%
- Bank of America: +9.51%
- Goldman Sachs +21.07%
- SP 500: +11.30%
BlackRock and Morgan Stanley both report Wednesday, July 15th before the opening bell.
The “macro” backdrop for the financials scheduled to report:
- GDP +2% with a generally healthy consumer. Very few are looking for a recession on the horizon.
- The crude oil spike after the last weekend in February ’26;
- Credit card delinquencies and charge-offs continue to be subdued, which is “unsecured debt” for the US consumer. Overall credit at the banks seems in very good shape.
- Capital markets activity including fixed-income issuance remains stronger. One firm put out a note saying sell the investment banks, given that capital markets activity should be expected to temper over the coming quarters.
- Corporate loan growth has low-to-mid-single-digits since COVID, which seems lower to me. I wonder if some of this is due to private credit.
- The capital return at the banks has been an “unheralded story” and a bigger positive than many might think.
JPMorgan (JPM):
When JPMorgan reports Tuesday morning before the opening bell, the consensus sell-side EPS and net revenue estimates are for $5.78 and $50.2 billion respectively, for expected y-o-y growth of 29% and 12% respectively.
JPM has an easy “comp” against Q2 ’25 when the mega-bank reported EPS and net rev growth of +2% and -10% respectively.
Last quarter, i.e. Q1 ’26, JPM reported EPS and net revenue growth of 17% and +10% respectively, with capital markets revenue (i.e. fixed-income and equity trading) growing 23% and 10% (much better than expected per Morningstar) respectively.
JPM’s ROTCE in Q1 ’26 (return-on-tangible-common equity) was +23%, a better equity return than just about any other bank, and Jamie Dimon and the management team have done it pretty consistently.
Without writing “War & Peace”, JPM should have a solid quarter, generating both an upside surprise in both EPS and net revenue, with credit showing no signs of duress.
What’s struck me as a major positive for JPM in the last few quarters is the sudden emergence of stock repurchases and – with the latest stress test results – faster than expected dividend increases.
Here’s JPM’s last 6 quarters of share repurchases and the resultant y-o-y change in fully-diluted shares outstanding:
- Q1 ’26: $8.1 billion repo’ed, 4% drop in shares
- Q4 ’25: $8.26 billion, 4% drop in shares
- Q3 ’25: $8.3 billion, 3% drop in shares
- Q2 ’25: $7.5 billion, 3% drop in shares
- Q1 ’25: $6.4 billion 3% drop in shares
JPM’s dividend has jumped from a $1 per share per quarter in late 2022, early ’23, to $1.65 per share per quarter today, with the bump from $1.50 to $1.65 occurring in the last 45 days with latest stress test results.
The $6.60 annualized dividend is a 2% current yield on the stock.
Valuation:
At $333 per share, JPM is trading at 15x expected full-year ’26 EPS of $22.70, which is 12% expected EPS growth in ’26, so at least on a PE basis, JPM still looks cheaper on a growth-at-a-reasonable (GARP) basis. At 2.3x book and 2.8x tangible book value, JPMorgan was never going to look good on a book value basis, but that’s how the stock trades.
JPM’s ROTCE is the highest regular return on equity for a bigger bank, which to me personally, has always been quite impressive.
CitiBank (C):
When Citi also reports Tuesday morning, consensus estimates are expecting $23.8 billion in net revenue and $2.74 in EPS for expected y-o-y growth of 10% and 40% respectively.
A year ago, Q2 ’25, Citi generated 8% net revenue growth and 29% EPS growth, and last quarter Q1 ’25, Citi grew net revenue $24.6 bl or 14%, which generated $3.06 in EPS for 56% y-o-y growth.
Citi has put up some good numbers, with Jane Fraser even garnering a shout-out from the President on June 10th ’26.
Citi is trading at just 13x expected ’26 EPS of $10.95 this year, which is an expected 44% growth rate for the full year.
Citi is no longer as cheap as it was on the book value metrics, now firmly above 1x on book and tangible book value valuations, but still well below JPM’s levels.
Here’s the last 5 quarters of share repurchases from Citi:
- Q1 ’26: $6.3 billion, for a 7.5% y-o-y share drop;
- Q4 ’25: $4.5 billion, for a 5.9% y-o-y share drop;
- Q3 ’25: $3.65 billion, for a 4% y-o-y share drop;
- Q2 ’25: $1.1 billion, for a 2.7% y-o-y share drop;
- Q1 ’25: $3.75 billion for a 1.25% y-o-y share drop;
Citi is repurchasing a lot of stock, relative to fully diluted shares outstanding;
As of late 2022, Citi was sporting a 4% dividend yield with an annual dividend near $2 per share. Today the annual dividend is $2.40 per share, so given the “y-o-y fully-diluted share declines” for Citi, more dollars have gone into share repurchases, as a percentage of total capital returned.
Summary: The “macro” for the US financial system continues to be a net positive, although the talk around the FOMC potentially tightening the fed funds rate by 25 – 50 basis points, is keeping enthusiasm contained. The June CPI is due out Tuesday, July 14th as well (after the above banks report), and could have an impact on how the bank stocks and trade Tuesday, although the quarterly results are expected to be solid.
The Treasury yield curve will probably play a role in how the bank’s trade Tuesday.
The sell-side analysts appear worried about the capital market tailwinds and how long that could last for the banking giants: Citi’s Treasury & Securities Services and their Capital Markets divisions were 54% of Citi’s total net revenue but 82% of Citi’s operating income, in Q1 ’26.
JPMorgan’s capital market division is 49% of net revenue as of last quarter and 55% of all the segments net income.
Keep that in mind as you look at EPS and net revenue increases; the capital markets dynamic won’t last forever, but it also may not be done yet either.
Maybe not appreciated enough is the share repurchases being seen by the big banks, certainly JPM and Citi, and the decline in fully diluted shares outstanding.
This blog continues to be long both JPM and C, and both are top 10 positions across client accounts.
Although a recession seems quite remote in the next 12 – 18 months, my own opinion is that the reserve’s rebuilt in 2022 and 2023 around the Jamie Dimon “economic hurricane” comments and all the recession calls out by the major brokers in 2022 (none of which materialized or got even close), might actually help buffer the banks willingness and ability to rebuild reserves in the event of a recession. It seems like the banks are well on their way and have been well on their way of replenishing reserves for several years.
None of this is advice or a recommendation but only an opinion. Past performance is no guarantee of future results. The consensus EPS and revenue data sourced in the article are from LSEG.