Wells Fargo & Company (NYSE:WFC) Stock Has Average Price Target of $98.08

Key Points

• Analysts remain moderately bullish: Twenty-five brokerages give Wells Fargo a consensus “Moderate Buy” rating, with an average 12-month price target of $98.08 versus the stock’s reported $83.82 price.
• Quarterly earnings beat estimates: Wells Fargo reported $1.87 in earnings per share, above the $1.85 consensus, although revenue of $21.87 billion fell short of expectations. Management expects about $13 billion in fourth-quarter net interest income.
• Investors are balancing positives and risks: The company raised its quarterly dividend to $0.50 per share, while slower trading activity, potential consumer-credit deterioration, regulatory issues and some analyst target cuts remain concerns.

Shares of Wells Fargo & Company (NYSE:WFC) have received a consensus rating of "Moderate Buy" from the twenty-five brokerages that are presently covering the company, MarketBeat.com reports. Eight analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and two have issued a strong buy rating on the company. The average 12-month price objective among brokers that have covered the stock in the last year is $98.08.

WFC has been the topic of a number of research analyst reports. Truist Financial upped their price target on shares of Wells Fargo & Company from $94.00 to $95.00 and gave the stock a "buy" rating in a report on Thursday, October 1st. Bank of America raised their price target on shares of Wells Fargo & Company from $95.00 to $102.00 and gave the stock a "buy" rating in a research note on Tuesday, July 7th. Keefe, Bruyette & Woods decreased their price objective on shares of Wells Fargo & Company from $94.00 to $90.00 and set a "market perform" rating for the company in a report on Wednesday. HSBC assumed coverage on shares of Wells Fargo & Company in a research report on Monday, September 28th. They issued a "buy" rating and a $108.00 price objective for the company. Finally, Raymond James Financial reissued a "market perform" rating on shares of Wells Fargo & Company in a research report on Tuesday, July 14th.

Key Wells Fargo & Company News

Here are the key news stories impacting Wells Fargo & Company this week:

• Positive Sentiment: A court order reportedly dismissed a former CEO’s pay-related case, removing a potential legal overhang for WFC. Wells Fargo wins court order to dismiss former CEO's pay-related case
• Positive Sentiment: Management reportedly expects fourth-quarter net interest income of about $13 billion, supported by deposit growth, consumer lending momentum and improving returns. That outlook strengthens the earnings-growth narrative. Wells Fargo Q3 Earnings Call Highlights Higher Interest Income Outlook
• Positive Sentiment: Third-quarter earnings of $1.87 per share exceeded the $1.85 consensus estimate, while net income reached $5.95 billion. Analysts and investors continue to describe the valuation as compelling despite recent weakness. Wells Fargo Q3 Results Reset The Story As Valuation Still Looks Compelling
• Neutral Sentiment: Wells Fargo appointed Cayetano Gea-Carrasco to lead AI and data for consumer banking and lending, a move intended to support efficiency and digital lending over the longer term. Wells Fargo Deepens AI and Data Leadership
• Negative Sentiment: Citigroup lowered its expectations for Wells Fargo’s share price, adding to broader analyst caution following the quarterly results. Citigroup Has Lowered Expectations for Wells Fargo Stock Price
• Negative Sentiment: Wells Fargo will reportedly bear most of a $4.4 million, multistate settlement over alleged unreasonable small-dollar trade commissions, creating a modest regulatory and reputational negative. Wells Fargo, Merrill Lynch to Pay $4.4 Million
• Negative Sentiment: The CFO said trading activity slowed sharply late in September, helping explain why revenue missed expectations despite the earnings beat. CEO Charlie Scharf also warned that inflation, gas costs and higher rates could eventually weaken consumer credit. Wells Fargo CFO Says Trading Activity Slowed Sharply
• Negative Sentiment: The OCC accused several large banks, including Wells Fargo, of restricting customer access based on political or religious views, posing a potential compliance and reputational risk. Banks Accused of Political and Religious Debanking

Institutional Trading of Wells Fargo & Company

Several institutional investors and hedge funds have recently modified their holdings of WFC. Security National Bank of Sioux City Iowa IA purchased a new stake in shares of Wells Fargo & Company in the 2nd quarter worth $28,000. Phillip James Consulting Co. bought a new stake in shares of Wells Fargo & Company in the first quarter valued at about $28,000. Dunhill Financial LLC purchased a new stake in Wells Fargo & Company in the second quarter worth about $30,000. Main Street Group LTD purchased a new stake in Wells Fargo & Company in the first quarter worth about $29,000. Finally, BOK Financial Private Wealth Inc. purchased a new stake in Wells Fargo & Company in the second quarter worth about $34,000. Institutional investors own 75.90% of the company's stock.

Wells Fargo & Company Stock Performance

WFC stock opened at $83.82 on Friday. The company has a quick ratio of 0.90, a current ratio of 0.89 and a debt-to-equity ratio of 1.14. The business's fifty day simple moving average is $85.25 and its two-hundred day simple moving average is $83.30. Wells Fargo & Company has a twelve month low of $72.78 and a twelve month high of $97.76. The firm has a market cap of $253.48 billion, a price-to-earnings ratio of 11.82, a PEG ratio of 0.89 and a beta of 0.96.

Wells Fargo & Company (NYSE:WFC - Get Free Report) last released its earnings results on Tuesday, October 13th. The financial services provider reported $1.87 earnings per share for the quarter, topping the consensus estimate of $1.85 by $0.02. The business had revenue of $21.87 billion during the quarter, compared to the consensus estimate of $22.30 billion. Wells Fargo & Company had a return on equity of 14.05% and a net margin of 17.64%. The business's revenue for the quarter was up 2.0% compared to the same quarter last year. During the same period last year, the company earned $1.66 earnings per share. Analysts predict that Wells Fargo & Company will post 7.28 earnings per share for the current year.

Wells Fargo & Company Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 1st. Stockholders of record on Friday, August 7th were given a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a dividend yield of 2.4%. This is a boost from Wells Fargo & Company's previous quarterly dividend of $0.45. The ex-dividend date of this dividend was Friday, August 7th. Wells Fargo & Company's dividend payout ratio is 28.21%.

About Wells Fargo & Company

Wells Fargo & Company NYSE: WFC is a diversified financial services company that provides banking, lending, investment, and wealth management services to individuals, businesses, institutions, and government entities. Its offerings include checking and savings accounts, credit cards, personal and commercial loans, mortgages, payment services, and other deposit and credit products.

The company also provides investment banking, capital markets, brokerage, advisory, asset management, and retirement services through its corporate and investment banking and wealth and investment management businesses.

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