First-quarter results came in today for Wells Fargo (NYSE:WFC) and JPMorgan Chase (NYSE:JPM), and while these are substantially different institutions, one constant between the two was the dramatic fall in mortgage lending.
In this segment from Friday's Investor Beat, host Chris Hill and Motley Fool analyst James Early discuss these two big banks, and how heavily dependent each is on the mortgage lending business. James notes that, while both of these banks have had a dramatic run-up since the crisis, he's still wary of the sector, in general, which he still sees as fragile enough to backslide at any time.
Big banking's little $20.8 trillion secret
There's a brand-new company that's revolutionizing banking, and is poised to kill the hated traditional brick-and-mortar banks. That's bad for them, but great for investors. And amazingly, despite its rapid growth, this company is still flying under the radar of Wall Street. To learn about about this company, click here to access our new special free report.
Chris Hill has no position in any stocks mentioned. James Early has no position in any stocks mentioned. The Motley Fool recommends Wells Fargo. The Motley Fool owns shares of JPMorgan Chase and Wells Fargo. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.