Quick Take on 2Q26 Earnings Result: Market Missing PPNR Raise

Research evidence excerpt

Quick Take on 2Q26 Earnings Result: Market Missing PPNR Raise

Update

July 15, 2026 03:54 AM GMT

Morgan Stanley & Co. LLCMJPMorgan Chase & Co | North America Manan Gosalia

Equity Analyst

Quick Take on 2Q26 Earnings Manan.Gosalia@morganstanley.comRyan Kenny, CFA +1 212 761-4092

Ryan.Kenny@morganstanley.com +1 212 761-1664

Result: Market Missing PPNR Connell J Schmitz

Research Associate

Connell.Schmitz@morganstanley.com +1 212 761-6252

Raise

JPMorgan Chase & Co (JPM.N, JPM UN)

What’s Changed Large Cap Banks | United States of America

JPMorgan Chase & Co (JPM.N) From To Stock Rating Equal-weight

Price Target $362.00 $370.00 Industry View Attractive

Price target $370.00

Shr price, close (Jul 14, 2026) $342.89

Mkt cap, curr (mm) $912,927

Reaction to earnings 52-Week Range $344.68-279.10

Unchanged Modest upside Modest revision higher

Impact to our thesis Financial results versus consensus Direction of next 12-month

consensus EPS

Source: Company data, Morgan Stanley Research

The unexpected raise in the expense guide somewhat dampened

the positive reaction to the better than expected raise in the NII

guide. While JPM doesn't guide to fees explicitly, strong beat

with positive momentum suggests that all-in, PPNR estimates

should move higher for 2H26.

Our Key Takeaways:

• Expense guidance raise dampened the reaction to an even better-than-

expected NII guidance raise. Since JPM had already pointed to expenses of

nearing ~$106B for FY26 back in May (versus $105B original guide), the new

$107.5B expense guide was largely an unexpected negative surprise,

somewhat softening the reactions to the FY NII ex-markets guide moving

higher to $96.5B (versus Cons. of $95.5B). JPM attributed the NII raise mainly

to higher deposit balances (both wholesale and commercial), with higher