{"id":635318,"date":"2026-07-14T14:45:00","date_gmt":"2026-07-14T14:45:00","guid":{"rendered":"https:\/\/buglecall.org\/?p=635318"},"modified":"2026-07-14T14:45:00","modified_gmt":"2026-07-14T14:45:00","slug":"here-is-what-americas-largest-banks-reported-in-their-q2-earnings-reports-3","status":"publish","type":"post","link":"https:\/\/buglecall.org\/?p=635318","title":{"rendered":"Here Is What America&#8217;s Largest Banks Reported In Their Q2 Earnings Reports"},"content":{"rendered":"<p><span class=\"field field--name-title field--type-string field--label-hidden\">Here Is What America&#8217;s Largest Banks Reported In Their Q2 Earnings Reports<\/span><\/p>\n<div class=\"clearfix text-formatted field field--name-body field--type-text-with-summary field--label-hidden field__item\">\n<p>In terms of perceived report quality relative to positioning, <strong>the ranking appears to be Goldman Sachs first, followed by Bank of America (pending guidance), then Wells Fargo, and finally JPMorgan. <\/strong>The broader theme across the group was fairly consistent: NII was generally underwhelming, fee income was strong as expected, capital markets results were very strong, and there was <strong>a clear halo effect from the strong deal calendar (SpaceX IPO most notably) that benefited equities trading. <\/strong>At the same time, expenses came in higher alongside the revenue beats, largely reflecting increased compensation costs tied to stronger activity levels.<\/p>\n<p>* * *\u00a0<\/p>\n<p><strong>Goldman Sachs delivered a standout quarter, reporting EPS of $20.98 versus $14.10 consensus<\/strong>, with buy-side expectations largely in the <strong>$15\u201316 range<\/strong>. Net revenue came in at $20.3 billion compared with $16.4 billion consensus, driven by equity trading and to a lesser extend FICC and invesmtent banking. Expenses were elevated but not surprising given the magnitude of the revenue beat, with compensation driving most of the increase. Investment banking fees reached $3.4 bn versus $2.9 bn consensus, as stronger ECM and DCM results more than offset somewhat softer advisory revenue. Markets performance was exceptional, with equities revenue exceeding consensus by roughly $2.3 bn and edging out JPMorgan&#8217;s impressive result. FICC also delivered a strong beat following a weaker prior quarter. Asset and Wealth Management revenue came in at $4.6 bn versus $4.2 bn consensus, while buybacks exceeded expectations at over $4 billion compared with the $3 billion consensus estimate. Net income printed at\u00a0$7.42 billion for a quarter with record-breaking stock-trading results, driven by financing and taking profit in arranging bets.<\/p>\n<p><em>Some more details from Bloomberg:<\/em><\/p>\n<ul>\n<li>The firm\u2019s second-quarter results mark the third consecutive quarter in which the firm\u2019s equities unit has set an all-time record for any bank. Its haul in just the past three months is larger than what it made in all four quarters of 2019 combined.<\/li>\n<li>The equities result jumped 72% from a year earlier, driven both by financing and taking profit in arranging bets, the bank said in a statement Tuesday. Rates traders also beat expectations after a disappointing first quarter, and its investment bankers posted their highest fees since 2021 from advising on mergers and underwriting.<\/li>\n<li>Goldman reported $4.59 billion in revenue in rates trading. Investment-banking fees totaled $3.4 billion, beating the consensus of analyst estimates compiled by Bloomberg.<\/li>\n<li>The bank\u2019s fresh equities-trading record came as investors made bets on the growth of Asian technology companies driving artificial intelligence and the S&amp;P 500 index posted its best return in six years.\u00a0<\/li>\n<li>The firm\u2019s investment bankers, who led the record-setting initial public offering of SpaceX and Alphabet Inc.\u2019s equity raise in the second quarter, are ahead of peers in league tables by a wide margin. Revenue in the bank\u2019s equities underwriting business jumped 130% compared to the same period last year.<\/li>\n<li>The record represents a blowout quarter for Goldman, though JPMorgan Chase &amp; Co.\u2019s equities traders posted a bigger jump. Their traders posted an 86% gain to $6.03 billion earlier Tuesday.<\/li>\n<\/ul>\n<p><strong>* * *\u00a0<\/strong><\/p>\n<p><strong>Bank of America reported EPS of $1.21 versus $1.12 consensus<\/strong>, with the upside driven primarily by fee income, which came in at $15.6 bn versus $14.5 bn consensus. NII was essentially in line, at $16.16 bn versus $16.2 bn consensus, and effectively within rounding distance on an FTE basis. Investment banking fees reached $2.14 bn versus $1.8 bn consensus, while the same equities trading halo effect seen elsewhere helped drive a markets beat, with equities revenue of $3.6 bn compared with $2.7 bn consensus. Expenses were slightly elevated at $18.6 bn versus UBS&#8217;s $18.5 billion estimate and the $18.4 bn consensus figure. Investor focus now shifts to management&#8217;s outlook for the second half, with many expecting an upward revision to NII guidance from the current 6\u20138% growth framework. Erika Najarian also highlights that deposit costs came in 3bp below consensus, a favorable contrast to the increase seen at Wells Fargo.<\/p>\n<p><em>Some more details from Bloomberg<\/em><\/p>\n<ul>\n<li>Equity-trading revenue rose 70% to $3.6 billion, surpassing expectations, while fixed-income trading climbed nearly 9% to $3.5 billion, which beat a consensus of analyst estimates. That marks a record first half of the year for the sales and trading division, a business that the bank has sought to bolster in recent years.<\/li>\n<li>Investment bank posted revenue of $2.2 billion, beating the average estimate of $1.91 billion. Fees for advising on mergers and acquisitions jumped nearly 68% to $558 million.<\/li>\n<li>The trading and deal frenzy boosted overall profit, with diluted earnings per share reaching $1.21. That surpassed the $1.12 expected by analysts.<\/li>\n<li>Equity-capital markets business generated $535 million in revenue during the second quarter, while debt-underwriting revenue totaled $1.1 billion. Analysts had expected revenue of $411 million and $959 million, respectively.<\/li>\n<li>The lender detailed how it\u2019s been using artificial intelligence, from customer-facing roles to broader efficiency gains. More than 300 AI and machine-learning use cases at the bank have been approved, with another 114 live generative AI-use cases that have been identified.<\/li>\n<li>The company\u2019s results also offer a snapshot about how US consumers are weathering gas price shocks given the war in Iran and market volatility caused by concerns about artificial intelligence and private credit investments.<\/li>\n<\/ul>\n<p>* * *<\/p>\n<p><strong>Wells Fargo exceeded expectations, with PPNR coming in roughly 12% above consensus\u00a0on higher fees from wealth management and investment banking.<\/strong>\u00a0The beat was driven primarily by fee income, and management reiterated its guidance. NIM performance remained within the previously discussed 3\u20134bp compression range. While average deposit costs rose 8bp q\/q due to a shift toward investment banking deposits, the net impact\u2014when combined with stronger markets-related activity\u2014remained consistent with management&#8217;s NIM outlook. Some investors may discount part of the fee beat because it included a 17-cent-per-share gain from equity investments. However, even excluding that benefit, EPS would have been approximately $1.79 versus the $1.73 consensus estimate. Given the stock&#8217;s heavier short interest and lower expectations heading into the print, that level of outperformance may be sufficient to support the shares.<\/p>\n<p><em>Some more details from Bloomberg<\/em><\/p>\n<ul>\n<li>Noninterest income rose 13% to $10.3 billion, topping the $9.44 billion average estimate of analysts in a Bloomberg survey. The results included $728 million of higher net gains from venture capital investments.<\/li>\n<li>Net interest income, what the bank earns after expenses from interest-bearing assets, totaled $12.3 billion, in line with what analysts expected. Wells Fargo stuck with its full-year NII forecast of roughly $50 billion, which included about $2 billion from the markets business.\u00a0<\/li>\n<li>Net income for the three months through June rose 17% to $6.4 billion, or $2 a share. Analysts in the Bloomberg survey expected adjusted earnings per share of $1.71. Revenue climbed 9% to $22.6 billion.<\/li>\n<li>Investment banking fees increased 35% to $939 million. Wells Fargo ranks sixth in Bloomberg\u2019s M&amp;A league tables, and has the highest average transaction value, underscoring its role in some of the market\u2019s biggest deals this year.<\/li>\n<\/ul>\n<p>* * *\u00a0<\/p>\n<p><strong>JPMorgan posted another major capital markets beat, but the market reaction may be more muted. <\/strong>While management raised its NII outlook, reported NII of $25.62 bn came in slightly below the $25.7 bn consensus estimate. In addition, the higher NII guidance was largely offset by an increase in expense guidance, making the net earnings impact less compelling. Results also benefited from a one-time $4.6 bn gain related to the Visa share sale, which investors are likely to adjust for when assessing underlying performance. (As a reminder, PNC also holds Visa shares and could benefit from a similar dynamic.)<\/p>\n<p><em>Some more details from Bloomberg<\/em><\/p>\n<ul>\n<li>The biggest US bank reported another bumper quarter for stock-trading desks, which have been on a volatility-fueled hot streak since Trump\u00a0won the 2024 election and the war in the Middle East roiled markets.\u00a0<\/li>\n<li>JPMorgan\u2019s net income for the quarter was $21.2 billion, or $7.70 per share, as almost every business exceeded expectations. Still, Chief Executive Officer\u00a0Jamie Dimon\u00a0was cautious about prospects for the future.<\/li>\n<li>JPMorgan pulled in $3.28 billion in investment-banking fees in the second quarter, up 30% from a year earlier and ahead of analysts\u2019 expectations. Equity and debt underwriters both surpassed estimates, with the latter notching a surprise gain. A 20% increase in fees for advising on mergers and acquisitions fell short of the 27% increase analysts<\/li>\n<li>JPMorgan updated its full-year cost guidance to about $107.5 billion, beyond the increase Dimon telegraphed at an industry conference in May. The firm said the increase is \u201cprimarily due to higher volume- and revenue-related expenses driven by the activity levels and associated revenue outperformance.\u201d For the quarter, expenses were $27.3 billion, more than expected.<\/li>\n<li>The firm lifted its full-year forecast for net interest income to about $105.5 billion, up from the $103 billion executives expected in April. For the quarter, NII came in at $25.5 billion, up 10% from a year earlier. The bank also said it expects the full-year net charge-off rate in its credit-card business to come in at around 3.2%, lower than the 3.4% guidance it provided in April.<\/li>\n<\/ul>\n<p><em>More available to <a href=\"https:\/\/www.zerohedge.com\/signup\/professional-membership-year\">pro subscribers<\/a>.<\/em><\/p>\n<\/div>\n<p>      <span class=\"field field--name-uid field--type-entity-reference field--label-hidden\"><a title=\"View user profile.\" href=\"https:\/\/cms.zerohedge.com\/users\/tyler-durden\" lang=\"\" class=\"username\" xml:lang=\"\">Tyler Durden<\/a><\/span><br \/>\n<span class=\"field field--name-created field--type-created field--label-hidden\">Tue, 07\/14\/2026 &#8211; 10:45<\/span><\/p>","protected":false},"excerpt":{"rendered":"<p>Here Is What America&#8217;s Largest Banks Reported In Their Q2 Earnings Reports In terms of perceived report quality relative to positioning, the ranking appears to be Goldman Sachs first, followed by Bank of America (pending guidance), then Wells Fargo, and finally JPMorgan. The broader theme across the group was fairly consistent: NII was generally underwhelming,&hellip; <a class=\"more-link\" href=\"https:\/\/buglecall.org\/?p=635318\">Continue reading <span class=\"screen-reader-text\">Here Is What America&#8217;s Largest Banks Reported In Their Q2 Earnings Reports<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":[],"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[20,23],"tags":[],"class_list":["post-635318","post","type-post","status-publish","format-standard","hentry","category-economic-empowerment","category-national-security","entry"],"_links":{"self":[{"href":"https:\/\/buglecall.org\/index.php?rest_route=\/wp\/v2\/posts\/635318","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buglecall.org\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buglecall.org\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buglecall.org\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buglecall.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=635318"}],"version-history":[{"count":0,"href":"https:\/\/buglecall.org\/index.php?rest_route=\/wp\/v2\/posts\/635318\/revisions"}],"wp:attachment":[{"href":"https:\/\/buglecall.org\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=635318"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buglecall.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=635318"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buglecall.org\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=635318"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}