JPMorgan Misses Earnings Estimates as IPO Delays Draw Scrutiny
JPMorgan fell short on revenue and earnings, while bank executives said delayed IPOs may return as market conditions change.
Key takeaways
- JPMorgan missed revenue and earnings estimates for the first time in nearly three years.
- Goldman Sachs beat both estimates, with equities revenue rising 72%.
- JPMorgan CFO Jeremy Barnum said IPOs were delayed rather than cancelled.
JPMorgan missed revenue and earnings estimates for the first time in nearly three years, as rising expenses and weaker fixed-income trading weighed on results. Goldman Sachs beat both estimates, helped by a 72% surge in equities revenue.
Other major banks reported mixed results. Bank of America posted a third-quarter profit drop, while Morgan Stanley and Citigroup beat revenue and earnings estimates. Wells Fargo exceeded earnings estimates but missed revenue expectations for the third time in four quarters.
The results came as several companies postponed IPO plans. JPMorgan CFO Jeremy Barnum said IPOs were “delayed rather than cancelled” and described the bank’s deal pipeline as “very, very strong.”
Goldman CEO David Solomon said activity softened in September. He said some companies may wait if the valuations they expect are higher than what the market offers.
Renaissance Capital strategist Matt Kennedy said companies were still preparing IPOs and filing confidentially, while giving themselves the option to proceed when conditions improve. He said 2026 was on pace to beat last year’s deal count, according to Renaissance Capital.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
