Barron's On: Why JPMorgan Is A Solid Bet Now

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This weekend's Barron's cover story takes a look at the financial giant that stands out in an out-of-favor sector.

That big U.S. bank also happens to be a favorite of Berkshire Hathaway Inc. (NYSE: BRK-A) (NYSE: BRK-B) CEO Warren Buffett.

Other featured articles discuss interpreting economic data and understanding modern monetary theory.

This weekend's Barron's cover story, "JPMorgan Is a Solid Bet Under Jamie Dimon" by Andrew Bary, says that while lower interest rates are a problem, Warren Buffett loves JPMorgan Chase & Co. JPM stock and investors should too.

U.S. bank stocks have fallen out of favor due to the specter of falling interest rates and a threatening economic slowdown. Yet there are some compelling reasons to embrace the banks, says the article. That is especially true of what Barron's calls the largest, best-run of them all, JPMorgan, which had more net income last year than any other U.S. company aside from Apple Inc. AAPL.

Dimon, the company's board chair and chief executive, recently cited consumer banking and asset and wealth management as two of its particularly resilient areas.

"The macro environment doesn't change anything we do," Dimon said. "We invest through the cycle. The underlying economy is still doing OK."

According to one expert quoted in the article: "Just as the stock market was unduly optimistic about JPMorgan and the group before the financial crisis, it's inappropriately pessimistic now." Find out how the company's strengths are underappreciated, according to Barron's. See a breakdown of its main businesses and how it stacks up against its competitors on dividends. And discover why Dimon and Buffett are optimistic about the future.

See also: Barron's Picks And Pans: GameStop, JPMorgan, Uber And More

Some other stories featured in this weekend's Barron's are also worth a look:

How to Argue About the Economy and Always Be Right

What Investors Need to Know About Modern Monetary Theory

At the time of this writing, the author had no position in the mentioned equities.

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Posted In: MediaBarron'sJamie DimonWarren Buffett
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