In the latest trading session, Wells Fargo (WFC) closed at $80.87, marking a -3.52% move from the previous day. The stock fell short of the S&P 500, which registered a gain of 0.34% for the day. Meanwhile, the Dow gained 0.09%, and the Nasdaq, a tech-heavy index, added 0.42%.
Prior to today's trading, shares of the biggest U.S. mortgage lender had gained 2.49% outpaced the Finance sector's gain of 1.52% and lagged the S&P 500's gain of 3.54%.
Market participants will be closely following the financial results of Wells Fargo in its upcoming release. The company plans to announce its earnings on October 14, 2025. The company's earnings per share (EPS) are projected to be $1.54, reflecting a 1.32% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $21.16 billion, indicating a 3.9% upward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.06 per share and a revenue of $83.43 billion, signifying shifts of +12.85% and +1.38%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Wells Fargo. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.78% higher. Wells Fargo is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Wells Fargo is presently being traded at a Forward P/E ratio of 13.83. This expresses a discount compared to the average Forward P/E of 17.08 of its industry.
Investors should also note that WFC has a PEG ratio of 1.26 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Financial - Investment Bank industry was having an average PEG ratio of 1.65.
The Financial - Investment Bank industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 29, finds itself in the top 12% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Wells Fargo & Company (WFC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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