NEW YORK (MarketWatch) -- J.P. Morgan Chase & Co. (JPM) has been raised to a strong buy from a buy recommendation, by analysts at S&P Capital IQ on Thursday. Analysts also increased the share price target for the firm by $3 to $61 a share from $59 a share, saying they believe the firm will trade higher as it takes steps to address regulatory actions, strengthen capital, and cut noninterest expenses. "We think J. P. Morgan does quite well, looking at net interest margin, revenue growth and trading income," said Erik Oja, equity analyst at S&P Capital IQ. With yesterday's Federal Reserve announcement not to taper its bond buying program, the net interest margin will not grow as quickly for financial firms but J.P. Morgan is less exposed compared to many U.S. banks, say analysts. The report comes as the firm announced a global settlement with four regulators for $920 million related to charges over the 'London Whale' scandal. "We think they are closer to the finish line than the starting line in terms of fines and settlements," said Orja. However, analysts expect additional possible charges to come from the LIBOR scandal, the mortgage task force and charges related to the purchase of Washington Mutual and Bear Stearns.
-Sital S. Patel; 415-439-6400; AskNewswires@dowjones.com
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(END) Dow Jones Newswires
09-19-13 1046ETCopyright (c) 2013 Dow Jones & Company, Inc.
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