Wells Fargo (WFC) closed at $79.44 in the latest trading session, marking a +2.94% move from the prior day. This change outpaced the S&P 500's 0.13% gain on the day. On the other hand, the Dow registered a gain of 0.45%, and the technology-centric Nasdaq increased by 0.03%.
Shares of the biggest U.S. mortgage lender have depreciated by 2.54% over the course of the past month, underperforming the Finance sector's gain of 0.68%, and the S&P 500's gain of 5.25%.
The investment community will be paying close attention to the earnings performance of Wells Fargo in its upcoming release. The company is slated to reveal its earnings on July 14, 2026. The company's upcoming EPS is projected at $1.71, signifying a 11.04% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $21.65 billion, indicating a 3.98% growth compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.84 per share and a revenue of $87.56 billion, representing changes of +8.92% and +4.62%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Wells Fargo. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 0.26% rise in the Zacks Consensus EPS estimate. Wells Fargo is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, Wells Fargo is presently trading at a Forward P/E ratio of 11.28. This represents a discount compared to its industry average Forward P/E of 12.79.
We can also see that WFC currently has a PEG ratio of 0.9. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Financial - Investment Bank industry held an average PEG ratio of 0.9.
The Financial - Investment Bank industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 151, placing it within the bottom 39% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Wells Fargo & Company (WFC): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).