JPMorgan vs Bank of America Overview
America’s two largest banks by assets: JPMorgan leads across investment banking, trading, and wealth management, while Bank of America excels in retail banking and wealth management.
| Metric | JPMorgan (JPM) | Bank of America (BAC) |
|---|---|---|
| Sector | Financial Services | Financial Services |
| Market Cap | $680B | $350B |
| Revenue | $162.4B | $98.6B |
| Net Income | $54.2B | $27.1B |
How Does JPMorgan Make Money?
JPMorgan Chase (JPM) operates in the Financial Services sector with a market cap of $680B. For a full breakdown of JPMorgan’s revenue sources, see the JPMorgan revenue breakdown.
JPMorgan Revenue Breakdown
| Segment | FY2024 | FY2023 | YoY Growth |
|---|---|---|---|
| Consumer & Community Banking | $72.6B | $68.8B | +5.5% |
| Corporate & Investment Bank | $55.2B | $49.1B | +12.4% |
| Commercial Banking | $18.1B | $15.9B | +13.8% |
| Asset & Wealth Management | $21.5B | $19.8B | +8.6% |
| Corporate | -$5.0B | -$4.2B | N/A |
| Total Revenue | $162.4B | $149.6B | +8.6% |
How Does Bank of America Make Money?
Bank of America (BAC) operates in the Financial Services sector with a market cap of $350B. For a full breakdown of Bank of America’s revenue sources, see the Bank of America revenue breakdown.
Bank of America Revenue Breakdown
| Segment | FY2024 | FY2023 | YoY Growth |
|---|---|---|---|
| Consumer Banking | $41.5B | $39.8B | +4.3% |
| Global Wealth & Investment Management | $23.1B | $21.4B | +7.9% |
| Global Banking | $23.5B | $22.1B | +6.3% |
| Global Markets | $20.2B | $18.8B | +7.4% |
| All Other | -$9.7B | -$9.5B | N/A |
| Total Revenue | $98.6B | $92.6B | +6.5% |
JPMorgan vs Bank of America Profitability
JPMorgan: Yes, JPMorgan is highly profitable. The company reported net income of $54.2B on total revenue of $162.4B. With an ROE of 17.5%, JPMorgan consistently outperforms peers and delivers industry-leading returns.
Bank of America: Yes, Bank of America is profitable. The company reported net income of $27.1B on total revenue of $98.6B. With an ROE of 11.2%, Bank of America delivers solid returns though trailing JPMorgan.
Key Financial Metrics Comparison
JPMorgan Key Metrics
- Return on Equity: 17.5% — Best-in-class among large banks.
- Net Interest Margin: 2.8% — Strong NIM from asset-sensitive positioning.
- Efficiency Ratio: 55% — Excellent cost control for a universal bank.
- CET1 Ratio: 15.2% — Well-capitalized with excess capital.
Bank of America Key Metrics
- Return on Equity: 11.2% — Solid but trailing peers.
- Net Interest Margin: 2.3% — Impacted by deposit costs and securities losses.
- Efficiency Ratio: 62% — Room for improvement vs. JPMorgan.
- Deposits: $1.9T — Massive low-cost deposit franchise.
Which Company is a Better Investment?
JPMorgan offers superior execution, diversification, and returns but trades at a premium valuation. Bank of America provides value exposure to rising interest rates with potential for margin expansion. Both are systemically important banks with regulatory constraints. Review the full JPMorgan revenue breakdown and Bank of America revenue breakdown for detailed analysis.
Disclaimer: This comparison is for informational purposes only and does not constitute investment advice.