HighTower Advisors LLC Trims Position in Wells Fargo & Company $WFC

Key Points

• HighTower Advisors reduced its Wells Fargo stake by 18.3% in the second quarter, selling 590,915 shares and retaining 2.64 million shares valued at approximately $218.4 million. Institutional investors collectively own 75.9% of WFC.
• Analysts maintain a generally positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $98.61. Recent targets range from $94 to $104.
• Wells Fargo exceeded quarterly expectations, reporting $1.96 EPS versus the $1.73 consensus and $22.62 billion in revenue. The company also raised its quarterly dividend from $0.45 to $0.50 per share, implying a 2.2% yield.

HighTower Advisors LLC cut its stake in shares of Wells Fargo & Company (NYSE:WFC - Free Report) by 18.3% during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 2,642,793 shares of the financial services provider's stock after selling 590,915 shares during the period. HighTower Advisors LLC owned 0.09% of Wells Fargo & Company worth $218,400,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently modified their holdings of the company. California State Teachers Retirement System grew its stake in Wells Fargo & Company by 7,954.4% during the second quarter. California State Teachers Retirement System now owns 384,483,013 shares of the financial services provider's stock valued at $31,773,676,000 after acquiring an additional 379,709,426 shares in the last quarter. Norges Bank purchased a new stake in Wells Fargo & Company in the 4th quarter worth approximately $4,512,563,000. Capital Research Global Investors lifted its stake in Wells Fargo & Company by 4.9% in the 4th quarter. Capital Research Global Investors now owns 37,421,387 shares of the financial services provider's stock worth $3,487,687,000 after purchasing an additional 1,760,484 shares in the last quarter. Legal & General Group Plc boosted its holdings in Wells Fargo & Company by 0.9% in the 4th quarter. Legal & General Group Plc now owns 21,197,423 shares of the financial services provider's stock valued at $1,975,600,000 after purchasing an additional 188,186 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its holdings in Wells Fargo & Company by 13.0% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 20,625,070 shares of the financial services provider's stock valued at $1,922,257,000 after purchasing an additional 2,369,260 shares during the period. 75.90% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research firms have recently weighed in on WFC. Truist Financial upped their price target on shares of Wells Fargo & Company from $90.00 to $94.00 and gave the stock a "buy" rating in a report on Friday, June 26th. Wall Street Zen raised Wells Fargo & Company from a "sell" rating to a "hold" rating in a research note on Sunday, June 14th. JPMorgan Chase & Co. boosted their target price on Wells Fargo & Company from $93.50 to $95.50 and gave the stock a "neutral" rating in a research report on Wednesday, July 29th. Weiss Ratings restated a "buy (b)" rating on shares of Wells Fargo & Company in a research note on Friday, July 17th. Finally, UBS Group lowered their price target on Wells Fargo & Company from $105.00 to $104.00 and set a "buy" rating on the stock in a report on Tuesday, July 7th. Two equities research analysts have rated the stock with a Strong Buy rating, fourteen have given a Buy rating and ten have issued a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $98.61.

Wells Fargo & Company Stock Performance

Wells Fargo & Company stock opened at $89.90 on Monday. Wells Fargo & Company has a fifty-two week low of $72.78 and a fifty-two week high of $97.76. The company has a debt-to-equity ratio of 1.09, a quick ratio of 0.90 and a current ratio of 0.90. The stock has a market cap of $271.86 billion, a P/E ratio of 13.07, a price-to-earnings-growth ratio of 0.98 and a beta of 0.92. The firm's fifty day moving average price is $86.69 and its 200-day moving average price is $82.63.

Wells Fargo & Company (NYSE:WFC - Get Free Report) last announced its earnings results on Tuesday, July 14th. The financial services provider reported $1.96 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.73 by $0.23. The company had revenue of $22.62 billion during the quarter, compared to analyst estimates of $21.86 billion. Wells Fargo & Company had a net margin of 17.55% and a return on equity of 13.85%. The firm's quarterly revenue was up 8.6% compared to the same quarter last year. During the same period in the previous year, the business earned $1.60 earnings per share. On average, equities research analysts expect that Wells Fargo & Company will post 7.26 earnings per share for the current fiscal year.

Wells Fargo & Company Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, September 1st. Stockholders of record on Friday, August 7th were issued a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date was Friday, August 7th. This is an increase from Wells Fargo & Company's previous quarterly dividend of $0.45. Wells Fargo & Company's dividend payout ratio (DPR) is currently 29.07%.

Wells Fargo & Company Company Profile

Wells Fargo & Company is a diversified, U.S.-based financial services company headquartered in San Francisco, California. Founded in 1852 by Henry Wells and William G. Fargo, the firm has evolved from its origins in express delivery and pioneer-era banking into one of the largest full-service banks in the United States. The company provides a broad range of financial products and services to individual, small business, commercial, and institutional clients. Charles W. Scharf serves as chief executive officer.

Wells Fargo operates across several core business segments, including consumer banking and lending, commercial banking, corporate and investment banking, and wealth and investment management.

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