Meiji Yasuda Asset Management Co Ltd. Sells 42,140 Shares of Wells Fargo & Company $WFC

Key Points

• Meiji Yasuda Asset Management sharply reduced its Wells Fargo stake by 61.1% in the fourth quarter, selling 42,140 shares and leaving it with 26,880 shares worth about $2.5 million.
• Wells Fargo reported Q1 earnings of $1.60 per share, topping estimates by a penny, while revenue rose 6.4% year over year. The company also projected full-year EPS of 6.82.
• The bank declared a quarterly dividend of $0.45 per share, implying a 2.4% yield, and analysts currently have a Moderate Buy consensus with an average price target of $97.53.

Meiji Yasuda Asset Management Co Ltd. cut its holdings in Wells Fargo & Company (NYSE:WFC - Free Report) by 61.1% in the fourth quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor owned 26,880 shares of the financial services provider's stock after selling 42,140 shares during the quarter. Meiji Yasuda Asset Management Co Ltd.'s holdings in Wells Fargo & Company were worth $2,505,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently made changes to their positions in the business. One Charles Private Wealth Services LLC acquired a new stake in Wells Fargo & Company in the fourth quarter worth about $204,000. Commonwealth Financial Services LLC acquired a new position in shares of Wells Fargo & Company during the 4th quarter worth about $209,000. Intellus Advisors LLC grew its position in shares of Wells Fargo & Company by 5.1% during the 4th quarter. Intellus Advisors LLC now owns 2,565 shares of the financial services provider's stock worth $239,000 after buying an additional 125 shares during the period. Check Capital Management Inc. CA grew its position in shares of Wells Fargo & Company by 14.2% during the 4th quarter. Check Capital Management Inc. CA now owns 5,038 shares of the financial services provider's stock worth $470,000 after buying an additional 625 shares during the period. Finally, FourThought Financial Partners LLC grew its position in shares of Wells Fargo & Company by 10.8% during the 4th quarter. FourThought Financial Partners LLC now owns 8,525 shares of the financial services provider's stock worth $795,000 after buying an additional 831 shares during the period. 75.90% of the stock is currently owned by institutional investors and hedge funds.

Wells Fargo & Company Trading Up 0.8%

NYSE:WFC opened at $76.52 on Friday. Wells Fargo & Company has a fifty-two week low of $71.89 and a fifty-two week high of $97.76. The company has a debt-to-equity ratio of 1.12, a current ratio of 0.90 and a quick ratio of 0.90. The stock has a market capitalization of $234.15 billion, a PE ratio of 11.81, a price-to-earnings-growth ratio of 0.89 and a beta of 0.96. The business's 50-day simple moving average is $78.92 and its 200-day simple moving average is $85.25.

Wells Fargo & Company (NYSE:WFC - Get Free Report) last released its quarterly earnings data on Tuesday, April 14th. The financial services provider reported $1.60 earnings per share for the quarter, beating the consensus estimate of $1.58 by $0.02. The business had revenue of $11.62 billion for the quarter, compared to analysts' expectations of $21.85 billion. Wells Fargo & Company had a return on equity of 13.27% and a net margin of 17.26%.Wells Fargo & Company's revenue for the quarter was up 6.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.39 EPS. Sell-side analysts expect that Wells Fargo & Company will post 6.82 earnings per share for the current fiscal year.

Wells Fargo & Company Dividend Announcement

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

Analyst Upgrades and Downgrades

WFC has been the subject of several analyst reports. Phillip Securities upgraded Wells Fargo & Company from a "moderate buy" rating to a "strong-buy" rating in a research report on Thursday, May 7th. Barclays decreased their target price on Wells Fargo & Company from $113.00 to $108.00 and set an "overweight" rating for the company in a research report on Wednesday, April 15th. Keefe, Bruyette & Woods decreased their target price on Wells Fargo & Company from $101.00 to $98.00 and set a "market perform" rating for the company in a research report on Wednesday, April 15th. JPMorgan Chase & Co. decreased their target price on Wells Fargo & Company from $91.00 to $86.50 and set a "neutral" rating for the company in a research report on Thursday, April 30th. Finally, Jefferies Financial Group initiated coverage on Wells Fargo & Company in a research report on Thursday, March 26th. They set a "buy" rating and a $100.00 target price for the company. Two equities research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and ten have given a Hold rating to the stock. According to data from MarketBeat.com, Wells Fargo & Company has a consensus rating of "Moderate Buy" and an average price target of $97.53.

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 stock was sold at an average price of $87.40, for a total transaction of $5,244,000.00. Following the sale, the executive vice president owned 169,496 shares in the company, valued at $14,813,950.40. This represents a 26.14% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. 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 value of $2,613,000.00. Following the sale, 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 position. The disclosure for this sale is available in the SEC filing. 0.14% of the stock is owned by company insiders.

Wells Fargo & Company News Summary

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 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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