JPMorgan & Goldman Crush Earnings, Again
Earnings season has arrived with a bang. As usual, the major banks are the first to share what happened over the last quarter, and what a quarter it was. JPMorgan and Goldman Sachs both crushed expectations with their reports, proving once again that banking is as important as ever. Although it’s noteworthy that these two exceptionally well-managed behemoths always find a way to turn chaos into cash.
Let’s start with JPMorgan. Profit was up 12% to $14.4B, EPS of $5.07 — a clear beat. Revenue jumped to $46.4B, driven by a booming Wall Street and M&A market. Trading revenue popped almost 25%, investment banking fees rose 16%, and consumer spending climbed 9%. Jamie Dimon’s tone was, as usual, pragmatic: he praised the results but warned about the world (which he does once every month, basically). Inflation, tariffs, geopolitical messes — pick your poison. But he’s also quietly smiling, because JPM just posted one of its strongest quarters ever. And even though his predictions about a recession might not come true, there’s no blame to put on him, if he keeps delivering phenomenal results. Being wrong only affects your reputation if your leadership also shows cracks. And Jamie Dimon’s leadership is made of vibranium.
Goldman Sachs didn’t disappoint either. Profit surged 37% to roughly $4.1B, EPS $12.25, revenue up 20%. The driver? A dealmaking revival in the style of 2021. Wall Street is on Adderall (not just the employees for once). Advisory fees shot up more than 40%, and trading revenue climbed over 10%. Notably, Goldman is the key advising bank for the recently announced EA deal, which I talked about a few days ago. In short, they’re doing what they do best: turning volatility into performance. Economic uncertainty isn’t a headwind for the bank. Honestly, it seems like the wind is only blowing in one direction for Goldman.
The broader message here is clear: this environment is perfect for the big boys. Volatility, political noise, tariffs, and AI hype — all fuel the banks’ operations. While most investors get scared and sell, the banks thrive on uncertainty. Every trade, every deal, every rate move: They make money no matter what.
The “soft landing” may or may not materialize, but for now, the landing pad is covered in cash. Banks still hold the cards, and if this quarter showed anything, it’s that they’re still the house — and the house always wins.
People love to talk about Nvidia and other AI hype companies, but many are discounting the silent winners in the background: major banks.
