Wells Fargo (WFC) Beats Q4 Earnings Estimates

Earnings Performance - Wells Fargo reported quarterly earnings of $1.42 per share, beating the Zacks Consensus Estimate of $1.34 per share, representing a 5.97% earnings surprise [1] - This compares to earnings of $1.29 per share a year ago [1] - In the previous quarter, the company delivered a 19.69% earnings surprise with $1.52 per share against an estimate of $1.27 [1] - Over the last four quarters, the company has surpassed consensus EPS estimates four times [2] Revenue Performance - Wells Fargo posted revenues of $20.38 billion for the quarter ended December 2024, missing the Zacks Consensus Estimate by 0.85% [2] - This compares to year-ago revenues of $20.48 billion [2] - The company has topped consensus revenue estimates two times over the last four quarters [2] Stock Performance and Outlook - Wells Fargo shares have added about 1.4% since the beginning of the year, outperforming the S&P 500's decline of -0.7% [3] - The current consensus EPS estimate is $1.19 on $20.63 billion in revenues for the coming quarter and $5.57 on $83.77 billion in revenues for the current fiscal year [7] - The estimate revisions trend for Wells Fargo is favorable, translating into a Zacks Rank 1 (Strong Buy) [6] Industry Context - Wells Fargo belongs to the Zacks Financial - Investment Bank industry, which is currently in the top 5% of the 250 plus Zacks industries [8] - The top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1 [8] Peer Comparison - Tradeweb Markets (TW), another stock from the same industry, is expected to report quarterly earnings of $0.75 per share, representing a year-over-year change of +17.2% [9] - The consensus EPS estimate for Tradeweb Markets has been revised 1.3% lower over the last 30 days [9] - Tradeweb Markets' revenues are expected to be $456.5 million, up 23.4% from the year-ago quarter [10]