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Wells Fargo (WFC) Gains But Lags Market: What You Should Know
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Wells Fargo (WFC - Free Report) closed the most recent trading day at $42, moving +0.29% from the previous trading session. This change lagged the S&P 500's 1.45% gain on the day. Elsewhere, the Dow gained 0.85%, while the tech-heavy Nasdaq added 1.74%.
Coming into today, shares of the biggest U.S. mortgage lender had lost 9.27% in the past month. In that same time, the Finance sector lost 3.27%, while the S&P 500 lost 3.08%.
Wall Street will be looking for positivity from Wells Fargo as it approaches its next earnings report date. In that report, analysts expect Wells Fargo to post earnings of $1.24 per share. This would mark a year-over-year decline of 4.62%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $20.23 billion, up 3.72% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.86 per share and revenue of $81.31 billion, which would represent changes of +54.78% and +10.2%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Wells Fargo. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.16% higher. Wells Fargo is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Wells Fargo is holding a Forward P/E ratio of 8.61. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 8.61.
Also, we should mention that WFC has a PEG ratio of 0.84. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Banks - Major Regional was holding an average PEG ratio of 1.48 at yesterday's closing price.
The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 157, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Wells Fargo (WFC) Gains But Lags Market: What You Should Know
Wells Fargo (WFC - Free Report) closed the most recent trading day at $42, moving +0.29% from the previous trading session. This change lagged the S&P 500's 1.45% gain on the day. Elsewhere, the Dow gained 0.85%, while the tech-heavy Nasdaq added 1.74%.
Coming into today, shares of the biggest U.S. mortgage lender had lost 9.27% in the past month. In that same time, the Finance sector lost 3.27%, while the S&P 500 lost 3.08%.
Wall Street will be looking for positivity from Wells Fargo as it approaches its next earnings report date. In that report, analysts expect Wells Fargo to post earnings of $1.24 per share. This would mark a year-over-year decline of 4.62%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $20.23 billion, up 3.72% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.86 per share and revenue of $81.31 billion, which would represent changes of +54.78% and +10.2%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Wells Fargo. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.16% higher. Wells Fargo is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Wells Fargo is holding a Forward P/E ratio of 8.61. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 8.61.
Also, we should mention that WFC has a PEG ratio of 0.84. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Banks - Major Regional was holding an average PEG ratio of 1.48 at yesterday's closing price.
The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 157, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.