Wells Fargo & Company Sees Unusually Large Options Volume (NYSE:WFC)

Key Points

• Unusual options activity: Investors bought 82,048 put options on WFC — about 39% above the typical daily put volume — indicating elevated bearish positioning.
• Shares fell 3.9% to $76.08 on heavy trading; the stock trades at a P/E of 11.74, has a 52‑week range of $71.89–$97.76, and Wells Fargo announced a $0.45 quarterly dividend (2.4% yield).
• Mixed analyst and insider signals: MarketBeat shows a "Moderate Buy" consensus with an average price target of $97.53, while insiders sold 115,000 shares (about $10.05M) in the last 90 days.

Wells Fargo & Company (NYSE:WFC) saw some unusual options trading on Friday. Investors acquired 82,048 put options on the company. This represents an increase of approximately 39% compared to the typical daily volume of 59,215 put options.

Wall Street Analyst Weigh In

WFC has been the subject of several analyst reports. KGI Securities cut Wells Fargo & Company to a "hold" rating in a report on Thursday, April 16th. Royal Bank Of Canada reissued an "outperform" rating and issued a $100.00 price objective on shares of Wells Fargo & Company in a report on Thursday, January 15th. The Goldman Sachs Group reduced their target price on shares of Wells Fargo & Company from $109.00 to $93.00 and set a "buy" rating on the stock in a research note on Monday, March 23rd. Truist Financial reduced their price target on shares of Wells Fargo & Company from $98.00 to $94.00 and set a "buy" rating on the stock in a research report on Tuesday, March 17th. Finally, CICC Research began coverage on Wells Fargo & Company in a report on Wednesday, January 14th. They issued a "market perform" rating and a $96.00 price objective on the stock. Two equities research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and ten have assigned a Hold rating to the stock. According to data from MarketBeat, Wells Fargo & Company presently has an average rating of "Moderate Buy" and an average price target of $97.53.

Wells Fargo & Company Trading Down 3.9%

NYSE:WFC traded down $3.08 on Friday, reaching $76.08. 11,679,376 shares of the company's stock were exchanged, compared to its average volume of 17,040,484. The firm has a market capitalization of $232.82 billion, a price-to-earnings ratio of 11.74, a price-to-earnings-growth ratio of 0.94 and a beta of 0.96. Wells Fargo & Company has a 52-week low of $71.89 and a 52-week high of $97.76. The company has a quick ratio of 0.90, a current ratio of 0.90 and a debt-to-equity ratio of 1.12. The business has a fifty day moving average of $80.47 and a 200-day moving average of $86.11.

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

Wells Fargo & Company Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, June 1st. Investors 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 yield of 2.4%. The ex-dividend date of this dividend is Friday, May 8th. Wells Fargo & Company's payout ratio is presently 27.78%.

Insiders Place Their Bets

In related news, EVP Ellen R. Patterson sold 60,000 shares of the company's stock in a transaction dated Thursday, February 26th. The shares were sold at an average price of $87.40, for a total transaction of $5,244,000.00. Following the completion of the sale, the executive vice president owned 169,496 shares of the company's stock, 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 Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Bridget E. Engle sold 30,000 shares of the stock in a transaction dated Thursday, February 26th. The shares were sold at an average price of $87.10, for a total transaction of $2,613,000.00. Following the completion of the sale, the executive vice president owned 83,478 shares of the company's stock, valued at approximately $7,270,933.80. The trade was a 26.44% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 115,000 shares of company stock valued at $10,050,000 in the last 90 days. 0.14% of the stock is owned by insiders.

Hedge Funds Weigh In On Wells Fargo & Company

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Brighton Jones LLC increased its position in shares of Wells Fargo & Company by 62.3% in the 4th quarter. Brighton Jones LLC now owns 66,233 shares of the financial services provider's stock valued at $4,652,000 after purchasing an additional 25,436 shares during the last quarter. Jump Financial LLC lifted its position in shares of Wells Fargo & Company by 12.9% during the 2nd quarter. Jump Financial LLC now owns 22,904 shares of the financial services provider's stock worth $1,835,000 after purchasing an additional 2,615 shares during the last quarter. Main Street Financial Solutions LLC grew its stake in shares of Wells Fargo & Company by 111.0% during the second quarter. Main Street Financial Solutions LLC now owns 14,008 shares of the financial services provider's stock worth $1,122,000 after purchasing an additional 7,368 shares in the last quarter. Vivaldi Capital Management LP grew its stake in shares of Wells Fargo & Company by 5.4% during the second quarter. Vivaldi Capital Management LP now owns 3,229 shares of the financial services provider's stock worth $259,000 after purchasing an additional 165 shares in the last quarter. Finally, Diversify Advisory Services LLC increased its holdings in Wells Fargo & Company by 51.2% in the second quarter. Diversify Advisory Services LLC now owns 25,718 shares of the financial services provider's stock valued at $2,044,000 after buying an additional 8,714 shares during the last quarter. Hedge funds and other institutional investors own 75.90% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.