JP Morgan Chase (NYSE: JPM) made the last hour of trading even hotter with the bank's dividend and buyback announcement. The Federal Reserve gave the US largest bank by assets the blessing to raise the dividend on the bank's stock by a nickel to 30 cents a share and allowing a plan buyback of $15 billion of its stock. This announcement was just before the Federal Reserve Bank's Stress Test release by the Federal Reserve Bank on 19 banking institutions, and the performance results were made public after the 4pm market close. The blessing by Federal Reserve was more good news for the markets as the Dow surged 218 points, and the NASDAQ closed above 3000. JP Morgan did lead the industry in announcing the increase on dividends paid to its shareholders.JP Morgan Chase was up 7% to 43.39 at close of business today.... However, many banks and financials were a benefactor on JP Morgan’s announcement late Tuesday. The following DC banking/financial institutions did see significant … [Read more...]
JP Morgan is Tuesday’s winner of Fed’s stress test
JP Morgan Chase (NYSE: JPM) made the last hour of trading even hotter with the bank's dividend and buyback announcement. The Federal Reserve gave the US largest bank by assets the blessing to raise the dividend on the bank's stock by a nickel to 30 cents a share and allowing a plan buyback of $15 billion of its stock. This announcement was just before the Federal Reserve Bank's Stress Test release by the Federal Reserve Bank on 19 banking institutions, and the performance results were made public after the 4pm market close. The blessing by Federal Reserve was more good news for the markets as the Dow surged 218 points, and the NASDAQ closed above 3000. JP Morgan did lead the industry in announcing the increase on dividends paid to its shareholders.JP Morgan Chase was up 7% to 43.39 at close of business today.... However, many banks and financials were a benefactor on JP Morgan’s announcement late Tuesday. The following DC banking/financial institutions did see significant gains in … [Read more...]
Loan growth pushes up earnings at SunTrust and BB&T
Two supra-regional banks in the DC market did release fourth quarter earnings. SunTrust and BB&T both did report stronger profits in the fourth quarter, and both banks did state that an improvement in credit quality including a reduction in net-charge offs and non-performing loans did accompany a better earnings performance. SunTrust did report a profit of $152 million up from $114 million a year earlier, and BB&T $391 million up from $208 million or an 88% increase over fourth quarter 2010. An improvement in credit quality is only a part of the equation to stronger profits at both institutions, loan growth especially commercial or business lending did support stronger fourth quarter results. BB&T saw loan growth at an annualized rate of 7%, and SunTrust did attribute commercial lending growth as a contributor to fourth quarter results. The return of banking institutions to lending is a positive sign for the marketplace and the overall economy. Outside the DC … [Read more...]
BB&T expands market presence in DC and Maryland
BB&T is capitializing on the recent success on market enviroment in the Baltimore Washington region. BB&T states the Baltimore-Washington corridor is the fastest growing region for the bank. BB&T is expanding market presence in asymetric strategies to traditional mergers and acquisition. BB&T is capitalizing on the market environment in the Mid-Atlantic area of its footprint. The Washington, DC metropolitan market is the top destination hub for banks to have a presence, and the DC metropolitan area is top ranked city/region for being the "most banked" metropolitan area in the United States. The population per branch statistics show for every 3,300 people to one every bank branch, and the smallest people to branch ratio makes DC the "most banked" area to beat the world's financial center, New York. The acquisition of Bethesda's Chevy Chase Bank was a demise of the only regional bank in the Washington, DC market. In the state of Maryland, the … [Read more...]
PNC insures RBC merger is fast track south from DC to Atlanta
A bank invasion force is massing in the north from Pittsburgh to Washington, DC , and this bank invasion force is poised to pour south in Stealth Mode in December 2011 to be revealed in March 2012. The banks in the South are aware of the pending storm. SunTrust, Bank of America, and BB&T call these parts home. These banks are typically the invaders, but time and tide has changed fortunes brought an opportunity for a formidable opponent to come south. The big banks of the South knows where the invasion force will target first in its mission to gain dominance in the south, Atlanta. In this game of chess, the invader is PNC Bank, and the recent acquisition of RBC Bank USA's division out of Raleigh, NC allows an opportunity to be on the offensive in the south for the first time against competitors such as Bank of America, BB&T, and SunTrust. In addition, PNC did acquire Flagstar Bank of Michigan before the RBC deal was announced, and the Flagstar Bank had a small presence … [Read more...]
