JP Morgan (JPM) released its Q4 2012 earnings this morning and overall, the numbers were solid. The company earned $1.39 vs. expectations for $1.20. We estimate core earnings were closer to $1.16, which adjusts for all of JPM's itemized one-time items as well as its reserve release. Net interest margin (NIM) fell three basis points but was in-line with estimates and much better than its peers such as Wells Fargo (WFC).
Though the stock currently trades near the high end of its range over the last few years, it’s still trading a 16% discount to fair value of $53.89. There’s room for upside with JPM’s stock, even after an impressive quarter.
