We recently compiled a list of the Top 10 Stocks to Buy According to Lee Munder Capital Group. In this article, we are going to take a look at where JPMorgan Chase & Co. (NYSE:JPM) stands against the other stocks.
Lee Munder Capital Group Investments, more commonly known as LMCG Investments, LLC, is an independent, employee-owned investment management company. Established in 2000 as Lee Munder Capital Group, it has 25 years of average investment experience and typically deals with alternative investments and wealth management. Specifically, the globally focused investment management firm provides a diverse array of investment strategies tailored to institutional investors, financial advisors, and private clients. The firm specializes in global equity, fixed income, and absolute return or relative value credit strategies. With a client-first approach, LMCG prioritizes aligning its interests with those of its investors, emphasizing transparency and long-term value creation. By leveraging its expertise and disciplined investment approach, the firm aims to deliver strong financial performance and best-in-class investment solutions. Founded and managed by Lee Munder himself, the firm has established a strong reputation in the financial industry.
As of March 2024, LMCG Investments manages discretionary assets totaling approximately $5.5 billion, serving 1,527 clients. The firm reported $1.63 billion in managed 13F securities for the fourth quarter of 2024, with its top 10 holdings making up over 28% of its portfolio. LMCG’s strategic investment approach and diversified portfolio reflect its commitment to delivering strong financial performance and value to its clients.
Munder also established Lee Munder Venture Partners LLC and founded Munder Capital Management. With extensive experience in investment management, Munder has held key positions, including Vice President at Loomis, Sayles & Co. LP. Currently, he serves as Chairman at IC Real Tech, an innovation-driven video technology company. Lee Munder holds an MBA from Wayne State University and an undergraduate degree from Ohio State University. Given this, we will take a look at top 10 stocks in Lee Munder’s portfolio.
Our Methodology
The stocks discussed below were picked from LMCG’s 13F filings for the fourth quarter of 2024. They have been compiled in the ascending order of the hedge fund’s stake in them as of December 31, 2024. To provide readers with a more holistic analysis of each stock, we have included the hedge fund sentiment regarding each company using data from over 900 hedge funds tracked by Insider Monkey in the fourth quarter of 2024.
Why are we interested in the stocks that hedge funds show interest in? The reason is simple: our research has shown that we can outperform the market by imitating the latest top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A group of business people discussing plans around a boardroom table adorned with a financial services company logo.
JPMorgan Chase & Co. (NYSE:JPM)
Number of Hedge Fund Holders as of Q3: 105
LMCG’s Equity Stake: $43.74 Million
An American multinational financial services firm headquartered in New York City and incorporated in Delaware, JPMorgan Chase & Co. (NYSE:JPM) is the largest bank in the United States. With an experience of 225 years, the company serves millions of customers, clients, and communities in over 100 global markets. The company is a market leader in investment banking, commercial banking, financial transaction processing, and asset management.
In the fourth quarter of 2024, JPMorgan Chase & Co. (NYSE:JPM) reported strong earnings; the company generated $42.77 billion in revenue, marking a 10% increase compared to the same period last year. The net income was reported as $14.01 billion, up 50% from the fourth quarter of 2023.
JPMorgan Chase & Co. (NYSE:JPM) operates through four key business segments. Consumer & Community Banking provides a range of services to individuals and businesses, including deposit and investment products, cash management, payment solutions, mortgage origination and servicing, credit card issuance, and auto loans. The segment generated a net income of $4.5 billion for Q4 2024, reflecting a 6% decline compared to the previous year. Commercial & Investment Banking offers investment banking, market-making, prime brokerage, and treasury and securities products to corporations, investors, financial institutions, and governments. It saw a strong performance with net income rising 59% year-on-year, reaching $6.6 billion for Q4 2024.
Carillon Eagle Growth & Income Fund stated the following regarding JPMorgan Chase & Co. (NYSE:JPM) in its first quarter 2024 investor letter:
“JPMorgan Chase & Co. (NYSE:JPM) contributed positively to performance following solid financial results and positive guidance for the remainder of 2024. Moreover, growing chatter around rising capital markets activity likely contributed to the stock’s strong performance relative to other banks. Recall that JPMorgan has a robust capital markets franchise.”
The company was the fifth largest holding in Lee Munder’s stock portfolio. LMCG owned 182,481 shares of the company as of Q4 2024 which constitutes 2.68% of the hedge fund’s holding.
Overall JPM ranks 5th on our list of Lee Munder Capital Group’s top stock picks. While we acknowledge the potential of JPM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. 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.
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Disclosure: None. This article is originally published at Insider Monkey.