“Both banks posted mixed results in what can be viewed as an underwhelming Q2 performance. BAC is coming off of a poor Q1 report so, coupled with the WFC and JPM results, expectations will be low,” the report stated.
Wells Fargo’s mortgage originations came in at $62 billion, up from $49 billion in prior quarter. Applications were at $81 billion, down from $93 billion in prior quarter.
Meanwhile, JPMorgan’s mortgage banking net income wasn’t as strong and came in at $584 million, a decrease of 20%. Net revenue was $1.8 billion, a decrease of 21%, driven by lower net servicing revenue and lower repurchase benefit.
In its first-quarter earnings, Bank of America posted net income of $3.4 billion, or $0.27 per diluted share, for the first quarter of 2015, compared to a loss of $276 million, or $0.05 per share, in the year-ago period.
The HW30, HousingWire’s exclusive list of mortgage-related stocks, ended the day up 0.78%, following the start of earnings season. Wells Fargo finished the day up 0.90%, while JPMorgan concluded the day up 1.40%.