Wells Fargo & Co (NYSE:WFC) Downgraded to Underperform at Wolfe Research

Wolfe Research downgraded shares of Wells Fargo & Co (NYSE:WFC) from a peer perform rating to an underperform rating in a research note issued to investors on Wednesday morning, Briefing.com Automated Import reports.

A number of other brokerages have also issued reports on WFC. Keefe, Bruyette & Woods lowered shares of Wells Fargo & Co from an outperform rating to a market perform rating and decreased their target price for the stock from $58.00 to $50.00 in a research report on Sunday, March 31st. BMO Capital Markets increased their target price on shares of Citigroup from $92.00 to $93.00 and gave the stock an outperform rating in a research report on Monday, April 15th. Goldman Sachs Group lowered shares of Encana to a buy rating in a research report on Friday, April 12th. Buckingham Research lowered shares of Carnival from a buy rating to a neutral rating and decreased their target price for the stock from $65.00 to $54.00 in a research report on Monday, April 15th. Finally, Bank of America reissued a hold rating and issued a $212.00 price objective on shares of Goldman Sachs Group in a research note on Monday, April 15th. Five equities research analysts have rated the stock with a sell rating, eleven have issued a hold rating and seven have issued a buy rating to the company. Wells Fargo & Co has a consensus rating of Hold and a consensus price target of $54.12.

Shares of NYSE:WFC traded down $0.01 on Wednesday, reaching $47.14. 19,748,300 shares of the company’s stock were exchanged, compared to its average volume of 20,635,297. The company’s fifty day moving average price is $46.25. Wells Fargo & Co has a twelve month low of $43.02 and a twelve month high of $59.53. The firm has a market cap of $213.66 billion, a P/E ratio of 10.76, a price-to-earnings-growth ratio of 0.92 and a beta of 1.08. The company has a quick ratio of 0.87, a current ratio of 0.88 and a debt-to-equity ratio of 1.35.

Wells Fargo & Co (NYSE:WFC) last announced its earnings results on Friday, April 12th. The financial services provider reported $1.20 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $1.08 by $0.12. Wells Fargo & Co had a net margin of 22.59% and a return on equity of 13.37%. The firm had revenue of $21.61 billion for the quarter, compared to analyst estimates of $20.89 billion. During the same quarter in the prior year, the business posted $0.96 EPS. Equities analysts predict that Wells Fargo & Co will post 4.68 earnings per share for the current fiscal year.

Wells Fargo & Co declared that its board has initiated a stock buyback plan on Thursday, June 27th that allows the company to buyback $23.10 billion in shares. This buyback authorization allows the financial services provider to reacquire up to 11.1% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its shares are undervalued.

In other news, insider Petros G. Pelos sold 28,304 shares of the firm’s stock in a transaction on Monday, May 13th. The shares were sold at an average price of $46.51, for a total transaction of $1,316,419.04. Following the completion of the transaction, the insider now owns 3,066 shares of the company’s stock, valued at $142,599.66. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.08% of the stock is currently owned by company insiders.

Several hedge funds have recently added to or reduced their stakes in the company. Orrstown Financial Services Inc. raised its stake in Wells Fargo & Co by 125.9% during the first quarter. Orrstown Financial Services Inc. now owns 515 shares of the financial services provider’s stock worth $25,000 after buying an additional 287 shares during the last quarter. Horan Capital Advisors LLC. acquired a new stake in Wells Fargo & Co in the first quarter worth $27,000. Brand Asset Management Group Inc. grew its holdings in Wells Fargo & Co by 96.8% in the first quarter. Brand Asset Management Group Inc. now owns 492 shares of the financial services provider’s stock worth $31,000 after purchasing an additional 242 shares during the period. Nalls Sherbakoff Group LLC acquired a new stake in Wells Fargo & Co in the fourth quarter worth $32,000. Finally, SevenBridge Financial Group LLC grew its holdings in Wells Fargo & Co by 500.0% in the fourth quarter. SevenBridge Financial Group LLC now owns 1,200 shares of the financial services provider’s stock worth $34,000 after purchasing an additional 1,000 shares during the period. 75.35% of the stock is owned by hedge funds and other institutional investors.

Wells Fargo & Co Company Profile

Wells Fargo & Company, a diversified financial services company, provides retail, commercial, and corporate banking services to individuals, businesses, and institutions. It operates through three segments: Community Banking, Wholesale Banking, and Wealth and Investment Management. The company also engages in the wholesale banking, mortgage banking, consumer finance, equipment leasing, agricultural finance, commercial finance, securities brokerage and investment banking, computer and data processing, trust, investment advisory, mortgage-backed securities, and venture capital investment services.

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Analyst Recommendations for Wells Fargo & Co (NYSE:WFC)

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