JPMorgan and BNY Mellon Take Different Paths in Q4 Earnings Results

The Wall Street Journal, Investor’s Business Daily, the New York Times, Bloomberg, and Reuters contributed to this report.

Wall Street had mixed vibes on Tuesday as two big financial names – JPMorgan Chase and The Bank of New York Mellon (BNY Mellon) –  reported quarterly numbers that couldn’t have looked more different.

JPMorgan kicked off earnings season with a downward headline: profit fell about 7% in the fourth quarter compared with last year. The bank reported net income of roughly $12.7 billion, marking a noticeable dip from its 2024 results. Several factors were behind the decline, including a one-time accounting charge tied to its Apple Card business and weaker performance in investment banking.

Investment banking revenue took a particularly hard hit as debt underwriting fees shrank, reflecting a quieter market for corporate deals. With interest rates still sticky and companies more cautious about tapping capital markets, JPMorgan’s usually reliable fee engines sputtered a bit.

Still, it wasn’t all bad news. Trading revenue and consumer banking businesses kept the engine running, and CEO Jamie Dimon highlighted the bank’s strong capital and diversified revenue streams heading into 2026. Dimon also pointed to ongoing credit quality improvements, suggesting JPMorgan’s footing remains solid despite the quarterly slack.

Wall Street reacted with a shrug rather than a sell-off: investors seemed to expect a bump in revenues would be harder to come by given the economic backdrop, and JPMorgan’s sheer scale gives it leeway to weather fluctuations better than most rivals.

On the flip side, The Bank of New York Mellon posted better results for the quarter, showing steady – if not spectacular – performance. BNY Mellon, which focuses on asset servicing, custody, and investment management, benefited from relatively stable markets and stronger fee income tied to assets under administration.

Unlike JPMorgan, which felt the pinch from deal activity drying up, BNY Mellon’s business model was less dependent on investment banking fees. That helped the bank deliver headline numbers that beat expectations and offered a sunnier snapshot of the quarter.

The contrast between JPMorgan and BNY Mellon highlights the varied pressures facing big banks today:

• JPMorgan: Big swings in investment banking and one-off charges put pressure on quarterly profit, even though core consumer and trading businesses still show resilience.
• BNY Mellon: Steadier, fee-driven revenue from custody and servicing helped keep results predictable, even if growth is modest.

Analysts pointed out that this divergence isn’t necessarily a bad omen for the sector; rather, it reflects how different banking models weather economic slowdowns and shifting market demand. Banks heavily tied to underwriting and capital markets can see more volatility quarter-to-quarter, while custodial and asset servicing outfits often show smoother performance in choppy markets.

Looking ahead, analysts noted a few key things to keep an eye on:

• Interest rate moves and market liquidity, which could boost – or further compress – trading and underwriting revenues.
• Loan growth and credit quality, especially as banks balance cautious lending with pressure to grow.
• Fee income trends across business lines, from asset management to corporate finance.

Investors seemed to take all of this in stride on Tuesday, pushing bank stocks modestly higher in midday trading. The takeaway? JPMorgan’s hit isn’t a collapse, just a bump in the road – and BNY Mellon’s steadiness shows there are still pockets of strength in the sector.

As earnings season rolls on, Wall Street will be watching whether this split narrative continues or banks start showing more uniform trends in the months ahead.