Wells Fargo (WFC) Surpasses Market Returns: Some Facts Worth Knowing

Company Performance - Wells Fargo (WFC) closed at $86.33, marking a +1.08% move from the prior day, outperforming the S&P 500 which gained 0.25% [1] - Over the past month, shares of Wells Fargo have lost 2.18%, lagging behind the Finance sector's gain of 1.61% and the S&P 500's loss of 0.23% [1] Earnings Projections - The upcoming earnings report for Wells Fargo is projected to show earnings per share (EPS) of $1.66, reflecting a 16.9% increase from the same quarter last year [2] - Revenue is anticipated to be $21.5 billion, indicating a 5.49% upward movement from the same quarter last year [2] Fiscal Year Estimates - For the entire fiscal year, earnings are predicted to be $6.28 per share and revenue is expected to reach $84.01 billion, indicating changes of +16.95% and +2.09% respectively from the previous year [3] - Recent changes to analyst estimates suggest a favorable outlook on the business health and profitability of Wells Fargo [3] Zacks Rank and Valuation - Wells Fargo currently holds a Zacks Rank of 2 (Buy), with a Forward P/E ratio of 13.6, which is a discount compared to the industry average Forward P/E of 16.59 [5] - The company has a PEG ratio of 0.87, indicating a favorable earnings growth trajectory compared to the Financial - Investment Bank industry average PEG ratio of 1.08 [6] Industry Context - The Financial - Investment Bank industry, part of the Finance sector, has a Zacks Industry Rank of 26, placing it in the top 11% of over 250 industries [7] - Strong individual industry groups, as measured by the Zacks Industry Rank, tend to outperform weaker groups by a factor of 2 to 1 [7]