Mediolanum International Funds Ltd Acquires 142,102 Shares of Wells Fargo & Company (NYSE:WFC)

Key Points

• Mediolanum International Funds Ltd increased its stake in Wells Fargo to 954,103 shares, representing a 17.5% increase and valued at approximately $67.45 million.
• Wells Fargo reported $1.54 EPS exceeding expectations, with quarterly revenue up 0.6% year-over-year at $20.82 billion.
• The company announced a $40 billion stock buyback program, indicating confidence that its shares are undervalued.

Mediolanum International Funds Ltd grew its position in Wells Fargo & Company (NYSE:WFC - Free Report) by 17.5% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 954,103 shares of the financial services provider's stock after purchasing an additional 142,102 shares during the quarter. Wells Fargo & Company makes up approximately 0.9% of Mediolanum International Funds Ltd's portfolio, making the stock its 19th largest holding. Mediolanum International Funds Ltd's holdings in Wells Fargo & Company were worth $67,446,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors also recently modified their holdings of WFC. Nvwm LLC increased its position in Wells Fargo & Company by 34.2% in the 1st quarter. Nvwm LLC now owns 39,832 shares of the financial services provider's stock worth $2,860,000 after buying an additional 10,159 shares during the period. First Heartland Consultants Inc. boosted its holdings in Wells Fargo & Company by 33.2% in the 1st quarter. First Heartland Consultants Inc. now owns 5,092 shares of the financial services provider's stock valued at $366,000 after purchasing an additional 1,270 shares during the period. Knights of Columbus Asset Advisors LLC grew its position in Wells Fargo & Company by 4.9% in the 1st quarter. Knights of Columbus Asset Advisors LLC now owns 188,564 shares of the financial services provider's stock worth $13,537,000 after purchasing an additional 8,821 shares during the last quarter. Skandinaviska Enskilda Banken AB publ increased its holdings in shares of Wells Fargo & Company by 44.3% during the 1st quarter. Skandinaviska Enskilda Banken AB publ now owns 1,113,710 shares of the financial services provider's stock worth $80,031,000 after purchasing an additional 341,793 shares during the period. Finally, Stevens Capital Management LP acquired a new position in shares of Wells Fargo & Company during the first quarter valued at about $2,322,000. Institutional investors own 75.90% of the company's stock.

Wells Fargo & Company Trading Down 1.5%

WFC stock traded down $1.29 during midday trading on Monday, hitting $83.03. The stock had a trading volume of 10,625,988 shares, compared to its average volume of 17,680,338. The firm has a market cap of $270.19 billion, a P/E ratio of 14.22, a price-to-earnings-growth ratio of 1.31 and a beta of 1.16. The company has a current ratio of 0.84, a quick ratio of 0.83 and a debt-to-equity ratio of 1.06. Wells Fargo & Company has a 1-year low of $50.15 and a 1-year high of $84.83. The business has a fifty day moving average price of $77.86 and a two-hundred day moving average price of $74.63.

Wells Fargo & Company (NYSE:WFC - Get Free Report) last announced its earnings results on Tuesday, July 15th. The financial services provider reported $1.54 EPS for the quarter, beating the consensus estimate of $1.41 by $0.13. Wells Fargo & Company had a return on equity of 12.29% and a net margin of 16.82%. The company had revenue of $20.82 billion for the quarter, compared to analyst estimates of $20.83 billion. During the same quarter in the prior year, the company earned $1.33 EPS. The firm's revenue for the quarter was up .6% compared to the same quarter last year. On average, sell-side analysts predict that Wells Fargo & Company will post 5.89 earnings per share for the current fiscal year.

Wells Fargo & Company Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Sunday, June 1st. Stockholders of record on Friday, May 9th were paid a $0.40 dividend. This represents a $1.60 annualized dividend and a dividend yield of 1.93%. The ex-dividend date was Friday, May 9th. Wells Fargo & Company's dividend payout ratio (DPR) is presently 27.40%.

Wells Fargo & Company announced that its Board of Directors has approved a share buyback plan on Tuesday, April 29th that allows the company to buyback $40.00 billion in shares. This buyback authorization allows the financial services provider to repurchase up to 17.2% of its shares through open market purchases. Shares buyback plans are typically a sign that the company's management believes its stock is undervalued.

Analyst Ratings Changes

Several brokerages recently issued reports on WFC. Truist Financial boosted their price target on Wells Fargo & Company from $83.00 to $86.00 and gave the company a "buy" rating in a research note on Wednesday, July 9th. Bank of America upped their target price on Wells Fargo & Company from $83.00 to $90.00 and gave the company a "buy" rating in a research note on Wednesday, June 4th. Citigroup restated a "neutral" rating on shares of Wells Fargo & Company in a research note on Tuesday, July 8th. Cowen restated a "hold" rating on shares of Wells Fargo & Company in a research note on Wednesday, July 16th. Finally, Barclays cut their target price on Wells Fargo & Company from $92.00 to $87.00 and set an "overweight" rating for the company in a research note on Monday, April 14th. One investment analyst has rated the stock with a sell rating, eight have given a hold rating and eleven have assigned a buy rating to the stock. According to MarketBeat.com, Wells Fargo & Company presently has a consensus rating of "Moderate Buy" and a consensus price target of $80.39.

Wells Fargo & Company Profile

Wells Fargo & Co is a diversified and community-based financial services company, which engages in the provision of banking, insurance, investments, mortgage, and consumer and commercial finance products and services. It operates through the following segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth and Investment Management.