JPMorgan Chase has recorded its best ever third quarter for investment banking fees, helping the bank to beat its earnings forecasts for the three months and taking the sting out of the division’s recent troubled listings including WeWork and Peloton.
America’s biggest bank was the lead manager in WeWork’s defunct initial public offering and also had a key role in listing Peloton, whose shares fell sharply after it floated in late September. JPMorgan said that its investment banking division enjoyed an 8 per cent rise in revenues for the quarter, which came in at $1.9bn. (FT)
Johnson & Johnson raised forecasts for adjusted sales and earnings for the full year on the back of better than expected third-quarter results, while warning of uncertainty surrounding legal costs. The world’s largest healthcare company now expects sales, adjusted for currency fluctuations and divestitures, to grow between 4.5 and 5 per cent this year, compared with its last forecast for growth of between 3.2 and 3.7 per cent. Sales — driven by growth in the pharmaceuticals division — rose 1.9 per cent year-on-year to $20.7bn. (WSJ)
Goldman Sachs suffered a worse than expected 18 per cent fall in net income during the third quarter, with trading emerging as the only bright spot in the bank’s four core divisions. The 150-year-old institution, which has promised investors a strategic update in January, posted net income of almost $1.8bn. Goldman Sachs shares are up more than 23 per cent so far this year, but it still trades at below the book value of its assets. (FirstFT)
With Northwest Quadrant Wealth Management, a Registered Investment Advisor I am Josh Fenili