AI benefits, commercial loan growth in focus for US big banks in 2026 - J.P. Morgan

Truist Financial

06/01/2026 14:22

** Going into 2026 - J.P. Morgan expects focus to be on commercial and industrial (C&I) loan growth, benefits from AI and potential regulatory changes for large cap bank stocks

** J.P. Morgan expects Q4 earnings of large cap banks to be marked by 'moderate' net interest income and loan growth along with mixed y-o-y investment banking and trading revenues

** U.S. big banks, including Citigroup C.N, Wells Fargo WFC.N and Bank of America BAC.N, are set to report Q4 earnings next week

    ** "With strong stock performance in 2025, bank stocks could be choppy into 4Q earnings if outlooks are moderate, even if these are out of caution given high expectations" - JPM

** In 2026, markets-related revenues are expected to stay strong near term, with credit quality holding up despite inflation pressures and some private credit softness, says JPM

** Citi's Q4 earnings are likely to be 'very messy', while Wells Fargo continues to expand investment banking and trading - both being key revenue drivers, adds JPM

Following are JPM's PT revisions on large cap bank stocks:

Company
Previous PT
Current PT
Bank of America
$58
$61
Citigroup
$124
$130
Citizens Financial
$58.50
$62.50
PNC Financial
$213.50
$228.50
Regions Financial
$27.50
$29
Truist Financial
$47.50
$51.50
U.S. Bancorp
$50
$55.50
Wells Fargo
$92
$99
Huntington Bancshares
$18.50
$20
M&T Bank
$207.50
$217
KeyCorp
$19.50
$22

 (Reporting by Kanishka Ajmera in Bengaluru)

 ((mail to: Kanishka.Ajmera@thomsonreuters.com))