August 9, 2012
The following video is part of our "Motley Fool Conversations" series, in which analyst John Reeves and advisor David Meier discuss topics across the investing world.
Over the next couple of weeks, John and David will be revisiting some calls they made on individual stocks of the Dow. Today, they're checking out JPMorgan Chase. This company is up around 5% in 2012 compared with a similar gain for the Dow average as a whole.
John and David gave JPMorgan an outperform earlier in 2012, thinking it would beat the market over the next five years. So far, it's flat against the market. Things were going along nicely until a trader racked up some massive losses and the stock price fell. Interestingly, that incident ripped through the market, causing bank stock prices to fall. You can see it in the charts of Bank of America, Citigroup, and Goldman Sachs. Although those risks aren't going to go away, David still thinks JPMorgan will outperform the market over the long term. It's very well run and will make adjustments going forward. And its 3.3% dividend yield is pretty attractive today.
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