JPM down 6%, is it a good longterm buy?

Jag, chatter that MS has some italy debt.. I wonder if the other big banks do too?

gross.. I have JPM calls..

i understand wanting to buy the dips...

but JPM isn't an undervalued stock...nor does the income statements, cash flow or balance sheet indicate promising growth potential here.

for a momentum or technical plays...
the price does not lag earnings revisions..and the daily and weeking charts are currently making lower lows.
i see trend breaks on momentum daily/weekly/monthly..with no bottom establish yet.

so....why JPM now?
the biggest positive i see is the regularly beat earnings...so i would be comfortable holding longer term for income (however, even with drop...dividends are only yielding 2%)

is this just a cross fingers and hope play?

with the vix creeping up...and the fear selling on JPM...options prices are high

if you really must own JPM...why not simply sell naked puts to acquire(and keep selling to lower your avg price) while options are selling for a premium.


personally JPM would need to drop around mid 90s (or even better low 80s) to motivate me to jump into this

quote:

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JPM calls..

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I doubled down at 108 on my July $110s. Today was good, but let’s see if this run can sustain.

i believe chase is up at least 120% the past 5 years..and JPM is, arguably, the blue chip superbank of the blue chip superbanks.
the leadership/management is best in class...which is important, imo, if planning to hold for the long haul,

i think for a 10+ year play...you can't go really wrong with JPM(or any blue chip financial).

while i love JPM as a company...i'd just prefer entering at more advantageous price.(which may never come)

if i wanted banking for my portfolio...i personally prefer $BK or $FITB right now.
(for holding 1-2 quarters tops)

for warren buffet/option or income investing...
i'd skip banking and go with AT&T.
$T is an A+ value play right now....and it is paying close to 6% in dividends.
selling covered calls off a dividend champion like AT&T is practically a guaranteed 25% yield (this is assuming ZERO stock gains)

for the 'random walk'/cost averaging long term stuff.... yeah go for it now.
the P/L Ratio this moment is 3.1:1...which isnt bad
no reason to worry about getting perfect prices if planning holding years.


just my opinion

I’m still long calls @ 110 with July 20 expiry.

Rough ride but I’m staying. The stress tests pass isn’t helping as much as I had hoped. Will give this a couple more weeks.

Ugly close. I’ll give this another 10 trading days or so to fix itself or I’m out.

After the market closed today JPM announced an almost 50% dividend increase to $.80/share/quarter on their common shares and a $20.7 billion stock buyback plan over the next year.

JPM shares jumped $2.00/share in after market trading initially and settled back to about +$1.75/share now.

Yup WFC up almost double what JPM is after market as well