JPMorgan Has Consistently Beaten Its Own 17% Return Target Under Jamie Dimon. Is the Stock Still a Buy?

The nationʻs largest bank had a return on tangible common equity (ROTCE) of 23% in Q2.

It remains a good buy heading into the second half of the year.

The nationʻs largest bank, JPMorgan Chase (NYSE: JPM) , has long been the most successful bank, particularly since Jamie Dimon became CEO in 2006.

His strategy of building a fortress balance sheet has carried JPMorgan through the difficult times and benefited it in the good times.

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JPMorgan Chase has been on an especially good run over the past year or so as rates have stabilized in a sweet spot for lending and net interest income, mergers & acquisitions (M&As) have taken off, and markets have been incredibly active.

In the second quarter, JPMorgan set revenue records in every line of its business as revenue surged 27% year over year to $58 billion, and earnings rose 47% to $7.70 per share. In the call with analysts, Dimon said, "It's getting close to as good as it gets . We just don't know how long it's going to last."

A key metric for banks is return on tangible common equity, or ROTCE, which measures the profit a bank generates from shareholder equity. It is considered a cleaner view of a bankʻs profitability as it strips out goodwill and intangible assets, showing how the bank is growing organically.