Wells Fargo & Company Analysts Recommend 'Moderate Buy'

Wells Fargo & Company (NYSE:WFC) has recently received an average recommendation of "Moderate Buy" from twenty different ratings firms that are actively covering the company, according to reports. Within these ratings, ten analysts have assigned a hold rating, while the other ten have issued buy ratings for the stock. Currently, the average 1-year price target set by these analysts is $73.39.

In recent weeks, Wells Fargo has been the subject of various notable analyst reports. The Goldman Sachs Group has raised its target price on the stock from $72.00 to $82.00, designating it with a "buy" rating in a research report published on December 6th. Meanwhile, Piper Sandler increased their price target from $62.00 to $75.00, issuing a "neutral" rating on December 3rd. Barclays also raised its target price on Wells Fargo from $90.00 to $92.00 and gave the stock an "overweight" rating on January 16th. Additionally, Compass Point upped their target from $60.00 to $83.00 while maintaining a "neutral" stance, and Truist Financial increased its target from $82.00 to $85.00, keeping a "buy" rating on the stock.

Institutional Interest in Wells Fargo

Recent trading actions from institutional investors and hedge funds have shown significant changes in their stakes in Wells Fargo. Rialto Wealth Management LLC acquired a new stake in the fourth quarter valued at approximately $26,000. Investment Counsel Co. of Nevada also acquired a fresh position worth around $28,000 during the same period. BNP Paribas made a similar acquisition for $28,000, while Rakuten Securities Inc. boosted its holdings by 126.7%, owning now 424 shares valued at roughly $30,000 after acquiring an additional 237 shares. Lastly, Modus Advisors LLC acquired a new stake in the company worth $30,000. Notably, institutional investors own about 75.90% of Wells Fargo's stock.

Wells Fargo Stock Performance

As of Monday, Wells Fargo shares opened at $77.43, reflecting a 1.5% decrease. The company maintains a current ratio of 0.86, while the quick ratio stands at 0.85, and the debt-to-equity ratio is 1.07. The stock's 50-day moving average is positioned at $75.20, with a 200-day moving average of $67.11. With a market capitalization of $257.81 billion, Wells Fargo has a price-to-earnings (P/E) ratio of 14.39, a PEG ratio of 1.18, and a beta of 1.18. In the past year, shares have seen a low of $50.15 and a high of $81.50.

On January 15th, Wells Fargo reported its earnings results, showcasing an EPS of $1.43 for the quarter, surpassing the consensus estimate of $1.34 by $0.09. The company had a return on equity of 12.38% and a net margin of 15.73%. Its quarterly revenue of $20.38 billion fell short of analyst expectations of $20.58 billion, and compared to the same period last year, revenue decreased by 0.5%. Analysts predict that Wells Fargo will achieve an EPS of 5.89 for the current year.

Recent Dividend Announcement

The company has also announced its latest quarterly dividend, set to be paid on March 1st. Shareholders on record as of January 7th will receive a dividend of $0.40 per share. The ex-dividend date will be February 7th, resulting in an annualized dividend of $1.60, yielding about 2.07%. Currently, Wells Fargo's dividend payout ratio stands at 29.74%.

Wells Fargo Overview

Wells Fargo & Company is a well-established financial services corporation that offers a range of diversified, community-based services, including banking, insurance, investments, mortgages, and both consumer and commercial finance products. The company operates through several segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth and Investment Management.

WellsFargo, Stocks, Investment