With tariff chaos clouding markets, solid results could offer rare clarity.
JPMorgan, Goldman, and Morgan Stanley—who’s set to shine through the noise?
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The first half of April marks the start of the Q1 2025 earnings season. As is tradition, the first major players to report are in the banking sector, with most large institutions set to publish their results in tomorrow’s session.
Next week will also bring earnings from Goldman Sachs (NYSE:), Citigroup (NYSE:), and Bank of America—completing the season for key financial institutions.
Financial markets, particularly stock valuations, remain highly volatile due to ongoing uncertainty surrounding U.S.-imposed tariffs. Just days after Donald Trump announced sweeping tariffs on most countries, he reversed course, suspending them for 90 days and lowering rates to a minimum—except for China, where tariffs remain above 100%. With Beijing’s swift retaliatory measures, the center of the tariff war may now shift decisively to the China-U.S. front.
In this market context, let’s take a look at three of the most promising financial stocks ahead of their earnings releases.
1. JP Morgan: Market Optimistic Ahead of Earnings Release
JPMorgan Chase & Co (NYSE:) remains one of the most influential players in the U.S. financial sector, and its quarterly results have long been a key point of focus for investors. Among all major banks reporting in the coming days, JP Morgan has seen the highest number of upward earnings revisions—with no downward adjustments.
Source: InvestingPro
Recent quarters have shown that positive earnings surprises typically prompt upward moves in the stock price. Another beat could give fresh momentum to reverse the local downtrend that has persisted for nearly two months.
2. Goldman Sachs: Less Than 15% Upside Potential
Looking at other key indicators, Goldman Sachs stands out from its closest competitors with a relatively high fair value estimate—offering nearly 15% upside.
Source: InvestingPro
However, market volatility remains driven by developments in the tariff war, meaning short-term valuation movements may hinge more on macroeconomic announcements than earnings. From a technical perspective, two key resistance levels are at $520 and $590 per share. A breakout above the latter could indicate a renewed upward trend.
3. Morgan Stanley: Favorable Comparison to Competitors
InvestingPro’s comparison tools allow for in-depth analysis across multiple financial metrics. When it comes to Morgan Stanley (NYSE:), the company compares favorably against its peers. At first glance, it boasts attractive P/E and P/B ratios—reinforced by a “undervalued” label on the fair value indicator.
Source: InvestingPro
For the past four quarters, Morgan Stanley’s stock has responded positively to earnings releases. If the upcoming results exceed market expectations, the stock has a strong chance of continuing that upward trend.
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Disclaimer: This article is written for informational purposes only. It is not intended to encourage the purchase of assets in any way, nor does it constitute a solicitation, offer, recommendation or suggestion to invest. I would like to remind you that all assets are evaluated from multiple perspectives and are highly risky, so any investment decision and the associated risk belongs to the investor. We also do not provide any investment advisory services.
