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Wells Fargo (WFC) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, Wells Fargo (WFC - Free Report) closed at $42.25, marking a -0.68% move from the previous day. This move lagged the S&P 500's daily gain of 0.12%. Elsewhere, the Dow lost 0.2%, while the tech-heavy Nasdaq added 0.29%.
Heading into today, shares of the biggest U.S. mortgage lender had lost 0.44% over the past month, outpacing the Finance sector's loss of 0.77% and lagging the S&P 500's gain of 0.09% in that time.
Wall Street will be looking for positivity from Wells Fargo as it approaches its next earnings report date. This is expected to be October 13, 2023. The company is expected to report EPS of $1.24, down 4.62% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $20.23 billion, up 3.72% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.84 per share and revenue of $81.31 billion, which would represent changes of +54.14% and +10.2%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Wells Fargo. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.35% lower within the past month. Wells Fargo is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Wells Fargo has a Forward P/E ratio of 8.79 right now. Its industry sports an average Forward P/E of 8.54, so we one might conclude that Wells Fargo is trading at a premium comparatively.
Investors should also note that WFC has a PEG ratio of 0.86 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. WFC's industry had an average PEG ratio of 1.47 as of yesterday's close.
The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 155, which puts it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow WFC in the coming trading sessions, be sure to utilize Zacks.com.
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Wells Fargo (WFC) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Wells Fargo (WFC - Free Report) closed at $42.25, marking a -0.68% move from the previous day. This move lagged the S&P 500's daily gain of 0.12%. Elsewhere, the Dow lost 0.2%, while the tech-heavy Nasdaq added 0.29%.
Heading into today, shares of the biggest U.S. mortgage lender had lost 0.44% over the past month, outpacing the Finance sector's loss of 0.77% and lagging the S&P 500's gain of 0.09% in that time.
Wall Street will be looking for positivity from Wells Fargo as it approaches its next earnings report date. This is expected to be October 13, 2023. The company is expected to report EPS of $1.24, down 4.62% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $20.23 billion, up 3.72% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.84 per share and revenue of $81.31 billion, which would represent changes of +54.14% and +10.2%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Wells Fargo. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.35% lower within the past month. Wells Fargo is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Wells Fargo has a Forward P/E ratio of 8.79 right now. Its industry sports an average Forward P/E of 8.54, so we one might conclude that Wells Fargo is trading at a premium comparatively.
Investors should also note that WFC has a PEG ratio of 0.86 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. WFC's industry had an average PEG ratio of 1.47 as of yesterday's close.
The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 155, which puts it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow WFC in the coming trading sessions, be sure to utilize Zacks.com.