Financial Analysis of JPMorgan Chase in Harvard Analytical Framework

Abstract

Nowadays, economic fluctuations have presented considerable obstacles for the investment banking field. With the development of AI and new industries, Investment banking faces much more challenges. The research object of this paper is JPMorgan Chase, one of the world's largest financial services institutions, as an example and used data in 2020, 2021 and 2022. The financial analysis of the company was conducted using the Harvard analytical framework from four perspectives: strategy analysis, accounting analysis, financial analysis, and prospective analysis. By constructing models at the strategic level and researching key indicators at the accounting and financial levels. It showed that the company’ solvency was stable during the three years, but its profitability ability increased in 2021 but decreased in 2022. Besides, compared with its competitors, chase still has an advantage in capital utilization. In general, JPMorgan Chase demonstrates strong financial health and operational efficiency, the company still have very good prospects for development.