Jamie Dimon, CEO of financial services firm JPMorgan Chase (NYSE:JPM), announced that he plans to sell 1 million shares of the company, marking the first time the CEO will sell his JPM shares. The 1 million shares equate to around $141 million and account for approximately 12% of his overall JPM holdings.
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Per a regulatory filing on Friday, the CEO and his family plan to start selling in 2024. JPMorgan also noted that the planned sale is “for financial diversification and tax-planning purposes.”
Furthermore, a JPMorgan spokesperson clarified that the stock sales are not indicative of a planned move by Dimon to exit the role. Dimon is notably the longest-serving CEO of a major national bank in the U.S. The 67-year-old billionaire took over as CEO in 2005 and has guided it to become the largest lender by assets in the United States.
The investment firm emphasized in the filing that Dimon is still very interested in his role as CEO. They added that he believes the company’s prospects are very strong, and his stake in the company will remain very significant.
It bears mentioning that Dimon and his family currently own roughly 8.6 million shares of JPM, valued at approximately $1.2 billion as of Thursday’s closing price. JPMorgan stock fell more than 2% during Friday morning trading. The stock has gained almost 5% since the beginning of the year, outpacing its peers.
Is JPM a Buy Now?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on JPM stock based on nine Buys, four Holds, and zero Sells assigned in the past three months, as indicated by the graphic above. Furthermore, the average JPM price target of $175.46 per share implies 28.02% upside potential.
