Kuhn & Co Investment Counsel Acquires New Position in Wells Fargo & Company $WFC

Key Points

• Kuhn & Co Investment Counsel opened a new position in Wells Fargo, buying 44,942 shares worth about $4.19 million. The stake now represents about 2.8% of the firm’s portfolio and is its 7th-largest holding.
• Recent news flow around Wells Fargo has been mostly positive, led by the launch of Advisor Gateway, a new desktop platform for financial advisors with more than 200 tools. Commentary also continues to highlight the bank’s cost-cutting and efficiency efforts as key to hitting its 17%–18% ROTCE target.
• The stock also has support from broader market sentiment: analysts currently rate WFC a Moderate Buy with a consensus target of $97.53, while the market has largely shrugged off the recent $110 million discrimination settlement. Wells Fargo also recently declared a $0.45 quarterly dividend, or $1.80 annualized, for a 2.4% yield.

Kuhn & Co Investment Counsel acquired a new stake in shares of Wells Fargo & Company (NYSE:WFC) in the 4th quarter, according to the company in its most recent disclosure with the SEC. The institutional investor acquired 44,942 shares of the financial services provider's stock, valued at approximately $4,189,000. Wells Fargo & Company makes up approximately 2.8% of Kuhn & Co Investment Counsel's portfolio, making the stock its 7th largest holding.

Other large investors also recently bought and sold shares of the company. Navalign LLC purchased a new stake in Wells Fargo & Company during the 4th quarter valued at about $26,000. Redmont Wealth Advisors LLC purchased a new stake in Wells Fargo & Company during the 3rd quarter valued at about $27,000. Joseph Group Capital Management purchased a new stake in shares of Wells Fargo & Company in the 4th quarter valued at approximately $28,000. Imprint Wealth LLC purchased a new stake in shares of Wells Fargo & Company in the 3rd quarter valued at approximately $31,000. Finally, Cloud Capital Management LLC purchased a new stake in shares of Wells Fargo & Company in the 3rd quarter valued at approximately $37,000. Hedge funds and other institutional investors own 75.90% of the company's stock.

Wells Fargo & Company News Roundup

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

• Positive Sentiment: Wells Fargo launched Advisor Gateway, a new desktop platform for financial advisors that gives access to more than 200 tools and applications. Investors may see this as a sign the bank is investing in technology and advisor productivity, which could support fee growth and client retention. Wells Fargo & Company (WFC) Launches Advisor Gateway, Here’s What You Need to Know
• Positive Sentiment: Analysts and market commentary continue to frame WFC as undervalued, with cost cuts and efficiency improvements potentially helping the bank reach its 17%–18% ROTCE target. That supports the case for earnings leverage if management executes well. WFC's Efficiency Story: Will Cost Cuts Lift ROTCE to Its Target Level?
• Positive Sentiment: Wall Street reaction to the recent $110 million discrimination settlement has been relatively muted to constructive, with commentary noting a buy-skewed analyst consensus and insider buying. That suggests investors may be looking past the legal overhang. Wall Street’s Verdict on Wells Fargo After the $110 Million Discrimination Settlement
• Neutral Sentiment: One article on Wells Fargo’s revised price target for Alphabet is only indirectly relevant to WFC and does not appear to be a direct driver of the stock today.
• Neutral Sentiment: Several repeat items discuss the same Advisor Gateway launch and efficiency/cost-cutting story, reinforcing the same theme rather than adding a new catalyst.

Wells Fargo & Company Stock Performance

Shares of WFC stock opened at $76.52 on Monday. The firm's 50 day moving average price is $78.92 and its 200-day moving average price is $85.24. The company has a debt-to-equity ratio of 1.12, a quick ratio of 0.90 and a current ratio of 0.90. Wells Fargo & Company has a one year low of $71.89 and a one year high of $97.76. The firm has a market cap of $234.15 billion, a P/E ratio of 11.81, a P/E/G ratio of 0.90 and a beta of 0.96.

Wells Fargo & Company (NYSE:WFC - Get Free Report) last issued its quarterly earnings data on Tuesday, April 14th. The financial services provider reported $1.60 EPS for the quarter, topping the consensus estimate of $1.58 by $0.02. Wells Fargo & Company had a net margin of 17.26% and a return on equity of 13.27%. The firm had revenue of $11.62 billion for the quarter, compared to analyst estimates of $21.85 billion. During the same period in the prior year, the business posted $1.39 EPS. The business's revenue for the quarter was up 6.4% compared to the same quarter last year. As a group, equities research analysts predict that Wells Fargo & Company will post 6.82 EPS for the current year.

Wells Fargo & Company Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 1st. Stockholders of record on Friday, May 8th will be issued a $0.45 dividend. This represents a $1.80 annualized dividend and a dividend yield of 2.4%. The ex-dividend date is Friday, May 8th. Wells Fargo & Company's dividend payout ratio is currently 27.78%.

Insider Activity at Wells Fargo & Company

In other news, EVP Ellen R. Patterson sold 60,000 shares of the company's stock in a transaction that occurred on Thursday, February 26th. The shares were sold at an average price of $87.40, for a total value of $5,244,000.00. Following the transaction, the executive vice president directly owned 169,496 shares in the company, valued at approximately $14,813,950.40. This represents a 26.14% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, EVP Bridget E. Engle sold 30,000 shares of the company's stock in a transaction that occurred on Thursday, February 26th. The stock was sold at an average price of $87.10, for a total transaction of $2,613,000.00. Following the completion of the transaction, the executive vice president owned 83,478 shares in the company, valued at approximately $7,270,933.80. This represents a 26.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.14% of the company's stock.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on WFC. Keefe, Bruyette & Woods dropped their price target on shares of Wells Fargo & Company from $101.00 to $98.00 and set a "market perform" rating for the company in a research note on Wednesday, April 15th. Weiss Ratings reissued a "buy (b)" rating on shares of Wells Fargo & Company in a research note on Monday, April 20th. Morgan Stanley dropped their price target on shares of Wells Fargo & Company from $108.00 to $100.00 and set an "equal weight" rating for the company in a research note on Tuesday, March 31st. Truist Financial dropped their price target on shares of Wells Fargo & Company from $98.00 to $94.00 and set a "buy" rating for the company in a research note on Tuesday, March 17th. Finally, HSBC raised shares of Wells Fargo & Company from a "hold" rating to a "buy" rating and set a $94.00 price target for the company in a research note on Wednesday, April 1st. Two equities research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and ten have assigned a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $97.53.

About Wells Fargo & Company

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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