With $4.4 trillion in assets (as of Dec. 31), JPMorgan Chase (JPM +1.31%) is the largest bank in the U.S. based on this metric. In comparison, second-place Bank of America has $3.4 trillion in assets, 23% below the top financial services institution.
Many investors consider JPMorgan Chase the gold standard in the banking industry, thanks to its diversified business model, strong balance sheet, leadership position in various markets, and CEO Jamie Dimon. The stock has produced an impressive total return of 157% in the past five years (as of Jan. 20).
Is JPMorgan Chase your ticket to becoming a millionaire?
Image source: JPMorgan Chase.
Finishing 2025 on a high note
JPMorgan Chase recently reported financial results for its 2025 fourth quarter, beating Wall Street estimates on the top and bottom lines. Revenue totaled $46.7 billion, up 7% year over year. Markets and securities and asset and wealth management were standout segments.
Net income came in at $14.7 billion in the quarter, rising 5% compared to Q4 2024. This figure excludes the $2.2 billion reserve related to the takeover of the Apple Card program from Goldman Sachs.
"These results were the product of strong execution, years of investment, a favorable market backdrop, and selective deployment of excess capital," Dimon said about the financial results.
JPMorgan Chase possesses durable competitive strengths
The banking sector isn't immune to disruptive forces. In the past decade, fintech enterprises have introduced innovative products and services that are certainly winning over customers in different pockets of the industry. However, JPMorgan Chase's dominant position is under no threat.
The company has unmatched scale, providing a cost advantage that allows it to better spread out its expenses across more business units and customers. There is leverage here, which supports the bank's strong 31% 2025 net profit margin.
JPMorgan Chase also benefits from switching costs. Whether it involves larger corporations, small businesses, or individual consumers, these customers probably signed up for multiple products that the company offers. This makes it difficult to change to competitor offerings.
NYSE: JPM
Key Data Points
Millionaire hopefuls should tone down their expectations
JPMorgan Chase shares might have crushed the market in the past five years. But that type of performance is far from guaranteed to repeat. This is an expensive stock, which creates a hurdle for investors.
Shares currently trade at a price-to-book ratio of 2.4. Besides the past six months, the valuation is more expensive right now than at any point in the past two decades.
Being the mature bank that it is, JPMorgan Chase won't register outsized growth that will propel the stock such that it becomes a millionaire-maker.
