- Wells Fargo reported net interest income of $12.52 billion, slightly under the estimated $12.59 billion.
- Earnings per share (EPS) was recorded at $1.87.
- Total revenue was $21.87 billion, falling short of the estimated $22.31 billion.
- Provision for credit losses was $1.03 billion, less than the expected $1.14 billion.
- Net charge-offs totaled $983 million, below the forecasted $1.05 billion.
- Non-interest expenses stood at $13.74 billion, marginally below the $13.87 billion estimate.
- The net interest margin was 2.43%, slightly above the expected 2.41%.
- Total average loans amounted to $1.03 trillion, just shy of the estimated $1.04 trillion.
- Total average deposits were $1.48 trillion, under the anticipated $1.5 trillion.
- Non-performing assets were $7.36 billion, better than the projected $8.04 billion.
- The efficiency ratio was 63%, higher than the estimated 62.2%.
- Common equity Tier 1 ratio was reported at 10%, slightly below the 10.1% estimate.
- Return on tangible common equity was 16.3%, exceeding the expected 16%.
- Return on equity was 13.8%, above the anticipated 13.5%.
- Return on assets stood at 1.05%.
- Investor outlook includes 22 buy ratings, 10 hold ratings, and 1 sell rating.
Wells Fargo & Co on Smartkarma
Analyst coverage of Wells Fargo & Co on Smartkarma reveals a positive sentiment towards the company. According to the research report by Ξ±SK Primers titled “Primer: Wells Fargo & Co (WFC US) – May 2026,” the analysts view Wells Fargo as a turnaround story with regulatory overhang lifting. The recent removal of the Federal Reserve’s asset cap is seen as a significant catalyst, unlocking the bank’s balance sheet growth potential that has been restricted for some time. Additionally, the report highlights Wells Fargo’s diversified franchise with scale advantages, benefiting from a strong branch network, a low-cost deposit base, and significant scale in key business segments such as consumer/commercial banking and mortgage lending.
Despite the positive outlook, the analysts also caution about potential risks that Wells Fargo may face. The bank needs to execute its growth strategy effectively while managing challenges such as intense competition, potential credit quality issues in an uncertain economic climate, and pressure on its net interest margin. Investors should remain cautious and conduct independent verification before making any investment decisions based on the information provided in the research report on Smartkarma.
A look at Wells Fargo & Co Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Wells Fargo & Co‘s long-term outlook appears promising according to Smartkarma’s Smart Scores. With solid scores in Value, Growth, and Momentum, the company seems well-positioned for future success. The high value score suggests that the company is currently undervalued, presenting a potential opportunity for investors. Additionally, the strong growth and momentum scores indicate positive growth prospects and market momentum, respectively, which could drive future performance.
However, the company’s scores in Dividend and Resilience are slightly lower, indicating room for improvement in these areas. The dividend score suggests that the company may not be the most attractive option for income-seeking investors, while the resilience score implies that there may be some vulnerabilities that need to be addressed for long-term sustainability.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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