"Wall Street's number one" rarely faces criticism! Odeon Capital downgrades JPMorgan Chase's rating.

According to the latest report from Odeon Capital, analyst Dick Bove believes that JPMorgan Chase's (JPM.US) stock has performed well in 2023 so far, but the good times may not continue. Bove points out that the stock faces significant resistance as regulatory proposals and profit risks pose challenges to the so-called banking giants. After the stock rose more than 5% this year, Bove downgraded his rating from "buy" to "hold," stating that the bank has been as transparent as possible on these issues, but he recommends waiting for further clarification before making any moves.

Bove wrote, "There are too many recent negative factors that cannot indicate that the bank's stock will perform strongly in the next year. I still believe that this is the best bank in the United States and should be a core asset in a banking portfolio."

JPMorgan Chase is one of only two stocks expected to rise in the KBW Bank Index this year, which has fallen by 24% so far. Since the US banking crisis earlier this year, the company's performance has been more impressive compared to its peers.

In May of this year, Bove turned bullish on the stock after JPMorgan Chase acquired the bankrupt First Republic Bank. However, he downgraded the rating now after JPMorgan Chase CEO Jamie Dimon himself issued a warning about the risks. In addition to the company's earnings last month, the CEO also stated that the performance "benefited from net interest income and excess profits below normal credit costs, both of which will normalize over time."

Nevertheless, most Wall Street analysts are optimistic about the company, with nearly 24 analysts maintaining a "buy" rating, and only 9 analysts giving it a "hold" rating. According to the data, no analysts have given a "sell" rating.