Big Banks Earnings Preview: Reports to Offer Clues on US Economy's Health

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Citigroup Inc News

Jpmorgan Chase & Co,Wells Fargo & Company

Stocks Analysis by Investing.com (David Wagner) covering: Citigroup Inc, JPMorgan Chase & Co, Wells Fargo & Company. Read Investing.com (David Wagner)'s latest article on Investing.com

Citigroup, JPMorgan, and Wells Fargo are set to report first.) expected to report tomorrow. While tech giants remain the market's darling, these bank results will offer crucial insights into the health of the US economy and its future.Analysts are generally cautious on bank earnings, predicting little to no growth for Q2. This cautious outlook stems partly from banks setting aside more funds to cover potential loan defaults.

This information will be crucial for navigating the market in the coming months. So, let's delve deeper into the consensus forecasts, valuations, and analyst views for each of these major banks.For Citigroup, the analyst consensus is for EPS of $1.39, well down on the previous quarter and up by a meager 1.4% year-on-year.Revenues are expected to come in at $20.093 billion, down 3.38% year-on-year, after $21.104 billion in the previous quarter.

As for the stock's potential, we note that Wells Fargo's InvestingPro Fair Value of $74.16 suggests a 24.2% upside potential, well above that of the other two bank stocks covered in this article.Note, however, that analysts seem less optimistic, posting an average target of $64.16, which translates into a bullish potential of 7.4% compared with Wednesday's close.

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