Wells Fargo (WFC) Outperforms Market Gains: What You Need To Know
Wells Fargo (WFC) closed the most recent trading day at $ 48.36, up 0.69% from the previous trading session. The stock topped the S&P 500 daily gain by 0.62%. Elsewhere, the Dow Jones gained 0.55%, while the tech-rich Nasdaq lost 0.03%.
Prior to today’s session, shares of the largest US mortgage lender had lost 6.39% in the past month. This delayed the financial sector’s 1.19% loss and the S&P 500’s 0.39% gain during this period.
Wall Street will research Wells Fargo’s positivity as the date of its next earnings report approaches. That is expected to be January 14, 2022. On that day, Wells Fargo is expected to report earnings of $ 1.11 per share, which would represent 73.44% year-over-year growth. Our most recent consensus estimate projects quarterly revenue of $ 18.41 billion, up 2.7% from the previous year.
For the full year, our consensus estimates from Zacks suggest analysts expect earnings of $ 4.64 per share and revenue of $ 75.63 billion. These totals would mark changes of + 1031.71% and + 4.55%, respectively, from a year ago.
It’s also important to note the recent changes to analyst estimates for Wells Fargo. Recent revisions tend to reflect the latest short-term business trends. With this in mind, we can take positive estimate revisions as a sign of optimism about the company’s business prospects.
Based on our research, we believe these estimate revisions are directly related to stock movements close to the team. To benefit from this, we have developed the Zacks Rank, a proprietary model that takes these rating changes into account and provides an actionable rating system.
Zacks’ ranking system ranges from # 1 (strong buy) to # 5 (strong sell). It has a remarkable, externally verified track record of success, with the No.1 stocks generating an average annual return of + 25% since 1988. Over the past 30 days, our consensus projection on EPS has increased by 0, 31%. Wells Fargo is currently a Zacks Rank # 2 (Buy).
Based on its valuation, Wells Fargo has a forward P / E ratio of 10.34. This represents a discount to its sector’s average forward P / E of 10.9.
Also, we have to mention that WFC has a PEG ratio of 1.01. This metric is used similarly to the famous P / E ratio, but the PEG ratio also takes into account the expected growth rate of the stock’s earnings. Banks – Major regional stocks hold, on average, a PEG ratio of 1.28 based on yesterday’s closing prices.
The Banks – Greater Region industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 93, which places it in the top 37% of all 250+ industries.
The Zacks Industry Rankings include is ranked from best to worst in terms of the average Zacks rankings of individual companies in each of these industries. Our research shows that the top 50% of industries top the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to track all of these stock market metrics, and more, over future trading sessions.
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Wells Fargo & Company (WFC): Free Inventory Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.