BUZZ - US bank stocks: JPMorgan and Goldman Sachs rise, while Wells Fargo and Citigroup fall after releasing Q3 financial reports

Update price

October 13 - JPMorgan JPM.N

Despite the company reporting quarterly profits below expectations (for the first time in nearly three years), the share price still rose 1.4% due to increased market (link) volatility, which slowed down M&A and bond trading activities.

According to London Stock Exchange Group (LSEG) data, third-quarter earnings per share reached $5.57, below the average analyst estimate of $5.85. The main reason was an 8% quarter-on-quarter drop in investment banking fees, and a 4% decrease in fixed income trading revenue.

** As of the previous trading day's close, JPMorgan's share price has increased by about 3.7% year-to-date.

Goldman Sachs GS.N

After the bank reported better-than-expected third-quarter profits, its share price rose 1%.

** Boosted by trading activity stimulated by market volatility, equity division revenue (link) jumped 72% to $6.44 billion. Investment banking fees rose against the trend, up 21% to $3.22 billion, offsetting the overall slowdown in the M&A market.

** As of the previous trading day's close, Goldman Sachs shares have risen about 1.7% this year.

Citigroup C.N

** Driven by robust growth in investment banking, services, and wealth management income, after the company announced its third-quarter profit surged 40%, the share price fell 0.4%.

** The company's quarterly profit increased (link) to $5.25 billion, or $2.85 per share, compared with $3.8 billion, or $1.86 per share, in the same period last year. Investment banking revenue increased 9% to $1.35 billion.

** As of the previous trading day's close, Citigroup's share price has fallen about 13%.

Wells Fargo WFC.N

** After the company announced its third-quarter (link) profit had risen, the share price fell 1%.

** The fourth-largest US lender reported net profit of $5.95 billion, or $1.87 per share, compared with $5.59 billion, or $1.66 per share, in the same period last year.

** Wells Fargo said that despite uncertain economic prospects, its clients are in good shape. However, as investors remain cautious about future Fed rate hikes, the banking sector remains under pressure, and the company's shares continued to decline.

** As of the previous trading day's close, the stock has dropped about 10.6% year-to-date.

** Morgan Stanley MS.N and Bank of America MS.N — both companies will release their financial statements before the opening bell on Wednesday — also saw their share prices rise.

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