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Wells Fargo (WFC) Stock Dips While Market Gains: Key Facts
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In the latest trading session, Wells Fargo (WFC - Free Report) closed at $74.09, marking a -0.34% move from the previous day. The stock's change was less than the S&P 500's daily gain of 0.39%. Meanwhile, the Dow experienced a drop of 0.13%, and the technology-dominated Nasdaq saw an increase of 0.6%.
Prior to today's trading, shares of the biggest U.S. mortgage lender had gained 15.51% over the past month. This has outpaced the Finance sector's gain of 3.06% and the S&P 500's gain of 1.06% in that time.
The upcoming earnings release of Wells Fargo will be of great interest to investors. On that day, Wells Fargo is projected to report earnings of $1.32 per share, which would represent year-over-year growth of 2.33%. Our most recent consensus estimate is calling for quarterly revenue of $20.43 billion, down 0.25% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $5.27 per share and revenue of $82.6 billion, which would represent changes of -2.95% and 0%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Wells Fargo. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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 witnessed a 1.09% increase. Currently, Wells Fargo is carrying a Zacks Rank of #3 (Hold).
With respect to valuation, Wells Fargo is currently being traded at a Forward P/E ratio of 14.11. Its industry sports an average Forward P/E of 17.01, so one might conclude that Wells Fargo is trading at a discount comparatively.
Also, we should mention that WFC has a PEG ratio of 1.6. 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. Financial - Investment Bank stocks are, on average, holding a PEG ratio of 1.48 based on yesterday's closing prices.
The Financial - Investment Bank industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 47, which puts it in the top 19% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Wells Fargo (WFC) Stock Dips While Market Gains: Key Facts
In the latest trading session, Wells Fargo (WFC - Free Report) closed at $74.09, marking a -0.34% move from the previous day. The stock's change was less than the S&P 500's daily gain of 0.39%. Meanwhile, the Dow experienced a drop of 0.13%, and the technology-dominated Nasdaq saw an increase of 0.6%.
Prior to today's trading, shares of the biggest U.S. mortgage lender had gained 15.51% over the past month. This has outpaced the Finance sector's gain of 3.06% and the S&P 500's gain of 1.06% in that time.
The upcoming earnings release of Wells Fargo will be of great interest to investors. On that day, Wells Fargo is projected to report earnings of $1.32 per share, which would represent year-over-year growth of 2.33%. Our most recent consensus estimate is calling for quarterly revenue of $20.43 billion, down 0.25% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $5.27 per share and revenue of $82.6 billion, which would represent changes of -2.95% and 0%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Wells Fargo. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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 witnessed a 1.09% increase. Currently, Wells Fargo is carrying a Zacks Rank of #3 (Hold).
With respect to valuation, Wells Fargo is currently being traded at a Forward P/E ratio of 14.11. Its industry sports an average Forward P/E of 17.01, so one might conclude that Wells Fargo is trading at a discount comparatively.
Also, we should mention that WFC has a PEG ratio of 1.6. 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. Financial - Investment Bank stocks are, on average, holding a PEG ratio of 1.48 based on yesterday's closing prices.
The Financial - Investment Bank industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 47, which puts it in the top 19% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.