Goldman Sachs, Citigroup, Wells Fargo, and JPMorgan Chase posted their Q3 results on Tuesday, with all shares closing in the red.
- According to Gina Martin Adams, chief market strategist with HB Wealth, the banking results were “a little bit disappointing” for a market that was “anticipating much better.”
- JPMorgan Chase, Citigroup and Wells Fargo on Tuesday reported a combined $56.5 billion of net interest income for the third quarter.
- Goldman Sachs, meanwhile, reported net interest income of $3.77 billion, down 2%, as interest expense grew faster than interest income.
Third-quarter earnings season kicked off Tuesday, with big banks reporting results.
Goldman Sachs (GS), Citigroup (C), Wells Fargo (WFC) and JPMorgan Chase (JPM) posted their prints, with shares of all closing in the red with results “a little bit disappointing” for a market that was “anticipating much better,” Gina Martin Adams, chief market strategist with HB Wealth, told Reuters.
Big Banks Posted Mixed Q3 Results
Goldman Sachs reported net revenue of $18.68 billion and earnings per share of $17.01, beating estimates. Net profit rose 29% to $5.29 billion. A 72% surge in equities revenue and a 21% increase in investment banking fees drove growth.
Citigroup’s net income rose 40% year-over-year to $5.25 billion, or $2.85 per share, while revenue increased 8% to $23.85 billion. Growth in services, wealth management and investment banking supported its performance, while trading revenue declined sequentially and higher rewards and loan-loss provisions pressured credit card profitability.
Wells Fargo posted total revenue of $21.87 billion, up 2% year-over-year, and profit of $5.95 billion, or $1.87 per share, beating EPS estimates but missing revenue forecasts. Average loans and deposits each grew 11%, but higher provisions for credit losses and weaker-than-expected revenue weighed on results. The bank expects fourth-quarter net interest income of about $13 billion and full-year 2026 net interest income of roughly $50 billion.
JPMorgan Chase reported revenue of $50.17 billion, up 8% year-over-year, and $15.3 billion in net income, or $5.57 per share, posting a rare miss from consensus estimates. Equity trading revenue surged 49%, investment banking fees rose 14%, while fixed-income revenue fell 4%. Credit costs reached $2.7 billion. The bank raised its 2026 net interest income outlook to $106.2 billion and projected approximately $107 billion for 2027.
Net Interest Income Surges For Three Banks
Three American banks set new highs for interest earned from lending even as benchmark interest rates rose and pushed up borrowing costs.
JPMorgan Chase, Citigroup and Wells Fargo on Tuesday reported a combined $56.5 billion of net interest income for the third quarter.
JPMorgan Chase reported net interest income of about $27.1 billion, up 13% year over year, and raised its full-year 2026 forecast to $106.2 billion, with a preliminary outlook of $107 billion for 2027.
Citigroup’s net interest income increased 14% year-over-year to $17 billion, supported by growth in lending and deposits.
Wells Fargo’s net interest income rose 5% to $12.52 billion, driven by higher loan and investment securities balances. It now expects about $13 billion in the fourth quarter and roughly $50 billion for full-year 2026.
Goldman Sachs, meanwhile, reported net interest income of $3.77 billion, down 2%, as interest expense grew faster than interest income.
| Q3 2026 Net Interest Income (NII) | ||
| Bank | Q3 2026 NII | Year-over-year change |
| JPMorgan Chase | $27.1 billion | 13% |
| Citigroup | $17.0 billion | 14% |
| Wells Fargo | $12.52 billion | 5% |
| Goldman Sachs | $3.77 billion | −2% |
Latest Analyst Targets
Goldman Sachs lowered its price targets on JPM, WFC and C stocks while maintaining ‘Buy’ ratings on all three following their Q3 earnings, according to The Fly.
Goldman cut JPM’s target to $392 from $398 after the earnings miss but noted that 2027 guidance implies a $4 billion upside in pre-provision net revenue. JPMorgan is prioritizing organic balance-sheet growth and attractive capital deployment over buybacks, supported by stronger-than-expected consumer and wholesale deposit trends, including data-center financing, the analyst said.
For Wells Fargo, Goldman reduced its target to $94 from $96, citing a net interest income miss driven by softer average earning-asset metrics. However, the bank continues to gain market share in capital-markets businesses as investments in its franchise pay off, it said.
For Citi, Goldman lowered its target to $155 from $156 despite an earnings beat. Citi raised its 2026 net interest income guidance excluding Markets, while the bank attributed the negative share-price reaction primarily to positioning, noting that Citi had outperformed peers by two percentage points in the week before earnings.
Based on Koyfin data, tabulated below are the 12-month average price targets and ratings for all four banks:
| Analyst Price Targets and Ratings | |||||
| Bank | 12-month average price target | Return potential from last close | Buy | Sell | Hold |
| Goldman Sachs | $1,069.10 | 19% | 8 | 2 | 16 |
| Citigroup | $151.95 | 22% | 18 | 0 | 5 |
| Wells Fargo | $98.73 | 22% | 19 | 0 | 8 |
| JPMorgan Chase | $372.29 | 12% | 12 | 0 | 12 |
Retail Stance: GS, C, WFC, JPM Stocks
On Stocktwits, retail sentiment around GS stock and WFC stock was ‘bullish’ at the time of writing.
For C and JPM stocks, sentiment was ‘extremely bullish.’
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