This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Shine on You Jamie Dimon

NEW YORK (TheStreet) -- Many are calling the raise given Jamie Dimon of JPMorgan Chase (JPM - Get Report) this week "beyond shame."

It's a base salary of $20 million plus two million stock options, yet to be granted, that could be worth another $34 million. Call it a signing bonus.

By contrast, 25-year-old pitcher Masahiro Tanaka just signed a seven-year deal to pitch for the New York Yankees worth $155 million, with another $20 million going to his old baseball team, the Rakuten Golden Eagles of Sendai.

OK, maybe Tanaka had a better year last year, winning 24 games and losing none. Maybe the financing of sports stars' deals is fairly straightforward. The Yankees had its own cable network, YES, now 80% owned by 21st Century Fox (FOX) with a valuation near $1.2 billion, and last year the team drew almost 3.3 million  fans to Yankee Stadium. 

On the other hand, Dimon put together a $23 billion contingency fund to pay for JPMorgan Chase's legal liability following the 2008 meltdown, along with those of subsidiaries it bought, and the bank now seems to have gotten out of its legal jams for less than that figure.

Can Tanaka do that?

J.P. Morgan, the company and the founder, have a long history of bailing out the U.S. government. The man himself directed federal bailouts in 1895 and 1907.

Dimon agreed to acquire both Bear Stearns and Washington Mutual during 2008, knowing they had bad assets and had made bad deals. The government was facing a choice on whether to nationalize the country's biggest banks, and Dimon's actions helped prevent that. Dimon even called the deals bargains, then made them into bargains. 

Can Robinson Cano do that? He's going to be getting $24 million to play baseball in Seattle this year. Peyton Manning will get $20 million from the Denver Broncos if he comes back as quarterback next year, not counting endorsements. Kobe Bryant is sitting on a contract extension worth over $24 million per year to play basketball in Los Angeles.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
JPM $61.14 -1.40%
AAPL $127.42 0.80%
FB $80.20 -1.20%
GOOG $569.69 -0.98%
TSLA $197.94 -1.30%

Markets

DOW 17,886.99 -248.73 -1.37%
S&P 500 2,076.52 -24.52 -1.17%
NASDAQ 4,936.5240 -46.2850 -0.93%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs