QRG Capital Management Inc. Increases Stake in Wells Fargo & Company $WFC

Key Points

• QRG Capital Management increased its Wells Fargo stake by 4.5% in the second quarter, holding 583,082 shares valued at approximately $48.2 million. Institutional investors collectively own 75.9% of WFC.
• Wells Fargo reported quarterly EPS of $1.96, beating estimates of $1.73, while revenue rose 8.6% year over year to $22.62 billion. The bank also raised its quarterly dividend to $0.50 per share, yielding about 2.4% annually.
• Analysts maintain a broadly positive outlook, with a consensus “Moderate Buy” rating and an average price target of $99.08, compared with the reported share price of $81.89.

QRG Capital Management Inc. raised its position in shares of Wells Fargo & Company (NYSE:WFC) by 4.5% in the second quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 583,082 shares of the financial services provider's stock after purchasing an additional 25,124 shares during the quarter. QRG Capital Management Inc.'s holdings in Wells Fargo & Company were worth $48,186,000 at the end of the most recent quarter.

Several other large investors have also bought and sold shares of WFC. Norges Bank purchased a new position in Wells Fargo & Company in the 4th quarter worth approximately $4,512,563,000. Capital Research Global Investors lifted its position 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 valued at $3,487,687,000 after acquiring an additional 1,760,484 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in Wells Fargo & Company by 13.0% during 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 last quarter. Legal & General Group Plc purchased a new stake in Wells Fargo & Company during the 2nd quarter valued at $1,635,881,000. Finally, Bank of New York Mellon Corp bought a new stake in shares of Wells Fargo & Company in the 2nd quarter worth $1,364,923,000. 75.90% of the stock is owned by hedge funds and other institutional investors.

Wells Fargo & Company Stock Performance

Wells Fargo & Company stock traded down $1.26 during mid-day trading on Wednesday, reaching $81.89. 14,614,033 shares of the stock traded hands, compared to its average volume of 16,120,314. The stock has a market capitalization of $247.64 billion, a PE ratio of 11.90, a price-to-earnings-growth ratio of 0.94 and a beta of 0.92. The company has a debt-to-equity ratio of 1.09, a current ratio of 0.90 and a quick ratio of 0.90. Wells Fargo & Company has a 12-month low of $72.78 and a 12-month high of $97.76. The business's 50-day moving average is $87.19 and its 200-day moving average is $82.85.

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 business had revenue of $22.62 billion for the quarter, compared to analysts' expectations of $21.86 billion. Wells Fargo & Company had a return on equity of 13.85% and a net margin of 17.55%.The business's revenue for the quarter was up 8.6% on a year-over-year basis. During the same period last year, the firm posted $1.60 earnings per share. As a group, sell-side analysts predict that Wells Fargo & Company will post 7.25 EPS for the current fiscal year.

Wells Fargo & Company Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, September 1st. Investors of record on Friday, August 7th were issued a $0.50 dividend. The ex-dividend date of this dividend was Friday, August 7th. This is a positive change from Wells Fargo & Company's previous quarterly dividend of $0.45. This represents a $2.00 dividend on an annualized basis and a dividend yield of 2.4%. Wells Fargo & Company's payout ratio is 29.07%.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on WFC. Wall Street Zen upgraded Wells Fargo & Company from a "sell" rating to a "hold" rating in a research note on Sunday, June 14th. Robert W. Baird lifted their price objective on Wells Fargo & Company from $85.00 to $92.00 and gave the stock a "neutral" rating in a report on Wednesday, July 15th. Bank of America boosted their target price on Wells Fargo & Company from $95.00 to $102.00 and gave the stock a "buy" rating in a research report on Tuesday, July 7th. Truist Financial upped their target price on shares of Wells Fargo & Company from $90.00 to $94.00 and gave the company a "buy" rating in a research note on Friday, June 26th. Finally, UBS Group dropped their price target on shares of 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 issued a Buy rating and nine have assigned a Hold rating to the company. Based on data from MarketBeat, Wells Fargo & Company currently has an average rating of "Moderate Buy" and a consensus price target of $99.08.

Key Stories Impacting Wells Fargo & Company

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

• Positive Sentiment: Senator Mitch McConnell disclosed a purchase of WFC stock. While the trade size and timing are not provided, congressional buying may be viewed as a modest confidence signal. Congress Trade: Senator Mitch McConnell Just Disclosed New Stock Trades
• Neutral Sentiment: Wells Fargo named current Chief Operating Officer Scott Powell as its next chief risk officer. He will succeed Derek Flowers, who plans to retire in mid-January after nearly three decades at the bank. An internal succession could support continuity, although the departure of a long-serving risk executive warrants monitoring. Wells Fargo's chief risk officer Derek Flowers to retire
• Neutral Sentiment: Analysts maintain a broadly favorable view of Wells Fargo, with the stock receiving an average “Moderate Buy” recommendation. However, the rating alone is unlikely to drive a major near-term move. Wells Fargo Given Average Recommendation of Moderate Buy
• Neutral Sentiment: The Federal Reserve’s latest rate hike could help Wells Fargo expand net interest income because loans may reprice at higher rates. However, rising deposit costs could limit the benefit and pressure margins. Fed Rate Hike: What it Means for Wells Fargo's NII Outlook
• Negative Sentiment: Bank stocks, including WFC, declined as Meta’s Muse AI agent intensified fears that AI could eventually disrupt conventional banking, payments, and other financial services. The concern is sector-wide rather than specific to Wells Fargo, but it is weighing on investor sentiment today. Banking Giants Tumble as Meta’s AI Agent Triggers Disruption Concerns

Wells Fargo & Company Company Profile

Wells Fargo & Company is a diversified financial services company that provides banking, lending, investment, and wealth management services to consumers, businesses, and institutions. Its offerings include checking and savings accounts, credit cards, mortgages, auto loans, personal lending, commercial financing, and treasury management services.

The company operates through businesses that include consumer and small-business banking, commercial banking, corporate and investment banking, and wealth and investment management.

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