JPMorgan Sees Value Stocks Benefiting Low-Income Consumers Amid Affordability Efforts
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4d ago
0mins
Source: CNBC
- Policy Shift: JPMorgan's Dubravko Lakos-Bujas notes that while the White House's affordability efforts have had limited impact so far, the Trump administration is expected to ramp up efforts ahead of the midterm elections, potentially boosting low-income consumer spending power.
- Value Stock Preference: Lakos-Bujas reiterated his tactical preference for stocks sensitive to low-end consumers, believing that tax cuts and sliding gasoline prices will positively impact these companies, especially in a high-inflation environment.
- Company Performance: JPMorgan identified companies linked to low-income consumers, including Dollar General and Dollar Tree, with the former's stock surging about 75% in 2025 and the latter over 64%, indicating strong market performance.
- Analyst Ratings: While Dollar General holds a buy rating, Dollar Tree is rated hold, with both expected to pull back around 4% in the next year; however, analysts are optimistic about Upstart Holdings, projecting over 35% upside potential.
Analyst Views on JPM
Wall Street analysts forecast JPM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for JPM is 341.38 USD with a low forecast of 260.00 USD and a high forecast of 400.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
19 Analyst Rating
11 Buy
7 Hold
1 Sell
Moderate Buy
Current: 301.040
Low
260.00
Averages
341.38
High
400.00
Current: 301.040
Low
260.00
Averages
341.38
High
400.00
About JPM
JPMorgan Chase & Co. is a financial holding company. The Company is engaged in investment banking, financial services for consumers and small businesses, commercial banking, financial transaction processing and asset management. The Company operates through three segments: Consumer & Community Banking (CCB), Commercial & Investment Bank (CIB), and Asset & Wealth Management (AWM). Its CCB segment offers products and services to consumers and small businesses through bank branches, ATMs, digital and telephone banking. Its CIB segment consists of banking and payments and markets and securities services, and offers a suite of investment banking, lending, payments, market-making, financing, custody and securities products and services to a global base of corporate and institutional clients. AWM segment offers investment and wealth management solutions. It offers multi-asset investment management solutions, retirement products and services, brokerage, custody, estate planning, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
