Wells Fargo & Company (NYSE:WFC) Trading Up 2.7% - Time to Buy?

Key Points

• Wells Fargo & Company saw its stock price increase by 2.7% during trading, closing at $81.27 after reaching a high of $81.46.
• The company reported $1.54 earnings per share for the last quarter, surpassing analyst estimates of $1.41, indicating a small year-over-year revenue growth.
• Wells Fargo recently increased its quarterly dividend from $0.40 to $0.45 per share, representing an annualized yield of 2.2%.

Wells Fargo & Company (NYSE:WFC)'s stock price was up 2.7% during trading on Tuesday . The stock traded as high as $81.46 and last traded at $81.27. Approximately 5,479,575 shares changed hands during mid-day trading, a decline of 68% from the average daily volume of 16,948,221 shares. The stock had previously closed at $79.14.

Analyst Upgrades and Downgrades

Several equities research analysts have commented on WFC shares. Wall Street Zen raised shares of Wells Fargo & Company from a "sell" rating to a "hold" rating in a research note on Friday, August 22nd. Piper Sandler reissued an "overweight" rating on shares of Wells Fargo & Company in a research report on Tuesday, July 8th. TD Cowen initiated coverage on shares of Wells Fargo & Company in a report on Thursday, May 15th. They set a "hold" rating and a $83.00 target price for the company. Cowen reiterated a "hold" rating on shares of Wells Fargo & Company in a research note on Wednesday, July 16th. Finally, Evercore ISI reiterated an "outperform" rating on shares of Wells Fargo & Company in a research note on Tuesday, July 8th. Ten equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. According to MarketBeat, Wells Fargo & Company presently has a consensus rating of "Moderate Buy" and a consensus target price of $82.56.

Wells Fargo & Company Trading Up 2.3%

The business's 50 day moving average price is $80.52 and its two-hundred day moving average price is $75.01. The company has a current ratio of 0.84, a quick ratio of 0.83 and a debt-to-equity ratio of 1.06. The company has a market capitalization of $259.40 billion, a price-to-earnings ratio of 13.87, a P/E/G ratio of 1.23 and a beta of 1.25.

Wells Fargo & Company (NYSE:WFC - Get Free Report) last issued its quarterly earnings results on Tuesday, July 15th. The financial services provider reported $1.54 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.41 by $0.13. The firm had revenue of $20.82 billion for the quarter, compared to the consensus estimate of $20.83 billion. Wells Fargo & Company had a net margin of 16.82% and a return on equity of 12.29%. The company's revenue for the quarter was up .6% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.33 EPS. On average, equities analysts predict that Wells Fargo & Company will post 5.89 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 Monday, September 1st. Shareholders of record on Friday, August 8th were issued a dividend of $0.45 per share. The ex-dividend date of this dividend was Friday, August 8th. This represents a $1.80 dividend on an annualized basis and a yield of 2.2%. This is a positive change from Wells Fargo & Company's previous quarterly dividend of $0.40. Wells Fargo & Company's payout ratio is presently 30.82%.

Institutional Investors Weigh In On Wells Fargo & Company

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Access Investment Management LLC bought a new position in Wells Fargo & Company during the second quarter valued at approximately $25,000. CBIZ Investment Advisory Services LLC grew its position in Wells Fargo & Company by 585.5% during the first quarter. CBIZ Investment Advisory Services LLC now owns 377 shares of the financial services provider's stock valued at $27,000 after acquiring an additional 322 shares during the last quarter. McElhenny Sheffield Capital Management LLC bought a new position in Wells Fargo & Company during the second quarter valued at approximately $27,000. Motco grew its position in Wells Fargo & Company by 397.6% during the first quarter. Motco now owns 408 shares of the financial services provider's stock valued at $29,000 after acquiring an additional 326 shares during the last quarter. Finally, Accent Capital Management LLC bought a new position in Wells Fargo & Company during the first quarter valued at approximately $29,000. 75.90% of the stock is currently owned by institutional investors.

About Wells Fargo & Company

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.

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