JPMorgan Chase: Getting Paid 6.4% While Waiting For Lower Interest Rates

The Investment Doctor Investing Group Leader Follow Summary JPMorgan Chase delivered robust Q2 results, with net profit reaching $21.2B and EPS of $7.71, driven by strong non-interest revenue growth. JPM's preferred dividends remain well-covered, requiring just 2% of net income, providing a substantial buffer for income-focused investors. JPM.PR.M preferred shares offer a 6.39% yield and significant capital gain potential if called or if market yields decline modestly. While JPM common shares trade at a premium (12-14x forward earnings), I view them as a 'buy on the dips' candidate, especially below $300. Looking for more investing ideas like this one? Get them exclusively at European Small-Cap Ideas. Learn More » georgeclerk/iStock Unreleased via Getty Images Introduction I don’t think JPMorgan Chase & Co. ( JPM ) needs a long introduction, as this financial institution is well-known all over the world. In this article I will have a look at the recent earnings result from JPMorgan to see if This article was written by The Investment Doctor 23.95K Followers Follow The Investment Doctor is a financial writer, highlighting European small-caps with a 5-7 year investment horizon. He strongly believes a portfolio should consist of a mixture of dividend and growth stocks. He is the leader of the investment group European Small Cap Ideas which offers exclusive access to actionable research on appealing Europe-focused investment opportunities not found elsewhere. The a focus is on high-quality ideas in the small-cap space, with emphasis on capital gains and dividend income for continuous cash flow. Features include: two model portfolios - the European Small Cap Ideas portfolio and the European REIT Portfolio, weekly updates, educational content to learn more about the European investing opportunities, and an active chat room to discuss the latest developments of the portfolio holdings. Learn more. Analyst’s Disclosure: I/we have a beneficial long position in the shares of JPM.PR.M either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.