Yahoo Finance Wells Fargo (WFC) Stock Declines While Market Improves: Some Information for Investors
Wells Fargo (WFC) closed at $57.01 in the latest trading session, marking a -0.33% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 0.16%. Meanwhile, the Dow gained 0.04%, and the Nasdaq, a tech-heavy index, added 0.49%.
Shares of the biggest U.S. mortgage lender witnessed a loss of 3.83% over the previous month, trailing the performance of the Finance sector with its loss of 0.22% and the S&P 500's gain of 3.22%.
The investment community will be closely monitoring the performance of Wells Fargo in its forthcoming earnings report. The company is scheduled to release its earnings on July 12, 2024. It is anticipated that the company will report an EPS of $1.27, marking a 1.6% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $20.26 billion, reflecting a 1.31% fall from the equivalent quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $5.05 per share and a revenue of $81.74 billion, representing changes of -7% and -1.04%, respectively, from the prior year.
Any recent changes to analyst estimates for Wells Fargo should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.18% higher. At present, Wells Fargo boasts a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Wells Fargo has a Forward P/E ratio of 11.33 right now. This signifies a premium in comparison to the average Forward P/E of 10.97 for its industry.
Meanwhile, WFC's PEG ratio is currently 1.44. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Banks - Major Regional industry held an average PEG ratio of 1.5.
The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 56, which puts it in the top 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Wells Fargo & Company (WFC) : Free Stock Analysis Report
