JPMorgan JPM is mid-way through its process to open 400 new branches, gearing up to become the first U.S. bank to have brick-and-mortar presence across all states, other than Alaska and Hawaii. This also marks the bank’s progress on its bid to fortify presence. The news was reported by Reuters.
Majority of the new branches will be opened in major metropolitan areas across states such as New Mexico, Maine and Oregon.
JPMorgan has announced a number of expansion plans, lately, highlighting its focused approach toward bolster the bank’s position in new and existing markets. The head of Chase branch expansion, Dan Deegan said that in 2018, the bank had informed about its plan to open 400 branches in new markets in order to obtain more businesses from existing consumers. JPMorgan has raised the curtain in 16 new states since October, 2018 and anticipates to bear branches in 48 of the 50 U.S. states by summer end.
Consequently, JPMorgan intends to hire roughly 3,000 local employees to manage these branches. Of those hired, nearly half are women and most employees live where the branches are situated.
Notably, the head of asset and wealth management at JPMorgan, Mary Callahan Erdoes has also noted about the department looking into possible add-on acquisitions.
Erodes, moreover, stated that there has been a major rise in deal activities across the industry. JPMorgan has looked into several possible deals and the lever for an acquisition is very high. Lending at the private bank has shot up 17% so far this year, compared to 2020.
JPMorgan’s robust business profile, diversified product offerings and expansion of footprint in newer regions through branch openings will help the bank gain market share. Also, the acquisition of InstaMed has enabled the company to expand into the attractive U.S. healthcare payments market. These initiatives are, thus, anticipated to further support the Consumer & Community Banking segment. Inorganic expansion efforts and strong mortgage banking business are also likely to keep supporting JPMorgan’s financials.
The stock has rallied 35.7% over the past six months compared with the industry’s gain of 39.7%.
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Currently, JPMorgan carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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The Community Financial Corporation TCFC has been witnessing upward estimate revisions for the last 60 days. Also, the company’s shares have risen nearly 39% over the last six months. It currently sports a Zacks Rank #1.
Synovus Financial Corp. SNV has been witnessing upward estimate revisions for the last 60 days. Over the last six months, the company’s share price has gained 50%. It flaunts a Zacks Rank #1.
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