10 Best American Bank Stocks To Buy Now

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1. JPMorgan Chase & Co. (NYSE:JPM)

Number of Hedge Fund Holders: 105

JPMorgan Chase & Co. (NYSE:JPM) is an American financial services company that provides a range of investment banking and asset management solutions for a diverse client base. For the past four years, it has been the largest bank in the U.S. for retail deposits.

During its recent Q4 2024 earnings call on January 15, the company reported robust results, topping estimates for both revenue and earnings. The strong show was attributed to better-than-expected net interest income and strong investment banking results. JPMorgan Chase & Co. (NYSE:JPM)’s profits increased by 50% year-over-year to reach $14 billion.

The company also posted a record annual profit of $58.5 billion for 2024, which analysts have credited to an improving economy and a revival in deal-making activities in the sector as interest rates drop.

Looking ahead, JPMorgan Chase & Co. (NYSE:JPM) anticipates a boost in net interest income, with its projections for 2025 surpassing analysts’ forecasts. Mary Erdoes, the chief executive officer of JPM’s Asset & Wealth Management business, while speaking at the World Economic Forum recently expressed hope that Trump’s lighter-touch regulatory regime would further spur dealmaking in the American economy.

JPMorgan Chase & Co. (NYSE:JPM) is a generous dividend payer and distributed a common dividend of $3.5 billion or $1.25 per share during the recently concluded quarter. Given its solid financial position, analysts expect the company to continue sustaining strong shareholder returns. As a result, they have a consensus Buy rating for the stock. According to Insider Monkey’s database for Q3 2024, 105 hedge funds held a stake in the company, making it the best American stock to buy now.

Overall, JPM ranks first among the 10 Best American Bank Stocks To Buy Now. While we acknowledge the potential of banking companies, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than JPM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap

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