雅虎香港財經 Wells Fargo (WFC) Rises But Trails Market: What Investors Should Know
Wells Fargo (WFC) closed the latest trading day at $54.59, indicating a +1.09% change from the previous session's end. The stock lagged the S&P 500's daily gain of 1.16%. Meanwhile, the Dow experienced a rise of 1.2%, and the technology-dominated Nasdaq saw an increase of 1.16%.
Shares of the biggest U.S. mortgage lender have appreciated by 2.35% over the course of the past month, underperforming the Finance sector's gain of 5.48% and the S&P 500's gain of 3.48%.
The investment community will be closely monitoring the performance of Wells Fargo in its forthcoming earnings report. It is anticipated that the company will report an EPS of $1.27, marking an 8.63% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $20.4 billion, reflecting a 2.2% fall from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $5.10 per share and revenue of $82.29 billion, indicating changes of -6.08% and -0.38%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Wells Fargo. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.02% upward. Wells Fargo presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Wells Fargo is presently being traded at a Forward P/E ratio of 10.58. For comparison, its industry has an average Forward P/E of 11.83, which means Wells Fargo is trading at a discount to the group.
We can also see that WFC currently has a PEG ratio of 1.28. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Banks - Major Regional industry had an average PEG ratio of 1.45 as trading concluded yesterday.
The Banks - Major Regional industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 45, placing it within the top 18% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Wells Fargo & Company (WFC) : Free Stock Analysis Report
