Wells Fargo: Limited Upside In 2024

Summary:

  • Wells Fargo beats earnings forecasts for Q1 with adjusted earnings of $1.20 per-share, exceeding estimates.
  • The bank’s net interest income declined in Q1 and is expected to continue declining in FY 2024.
  • Credit quality remains good, with a sequential decline in credit provisions.
  • The valuation, however, remains unattractive, especially considering that the Federal Reserve is set to start lowering the federal fund rate later this year.

Wells Fargo bank branch entrance with window sign

ablokhin

Wells Fargo (NYSE:WFC) beat analysts’ earnings forecasts for the first fiscal quarter last week due to strength in Corporate and Investment Banking. Wells Fargo is also set to be a beneficiary of a higher for longer rate environment due


Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.


Leave a Reply

Your email address will not be published. Required fields are marked *