Jim Cramer Hopes for Buy Backs by Wells Fargo's Charlie Scharf

Wells Fargo & Company (NYSE:WFC) is one of the stocks in Jim Cramer’s game plan for this week. Cramer noted that he hopes the CEO will announce buying back more stock. He said:

“Tuesday, it starts earnings season like I tell you in How to Make Money in Any Market… This is the period that defines most stocks, the earnings season. Tuesday’s a big day for earnings. Just in the morning, we have three stocks we own for the Charitable Trust: BlackRock, Wells Fargo, and Goldman Sachs. All three have had a good run for the year, and they aren’t exactly in the crosshairs of the trade war.… I hope Wells Fargo CEO Charlie Scharf says he’s willing to buy back more stock if it comes down at these prices.”

Wells Fargo & Company (NYSE:WFC) provides financial services, including banking, lending, investment, and wealth management. During the September 29 episode, Cramer mentioned the company’s low valuation, as he commented:

“Wells Fargo’s up more than 20%… Now, though, banks are being valued on growth. I love buying growth stocks… Wells Fargo got a downgrade from Morgan Stanley amid a slew of upgrades… We own it for the Charitable Trust, and I think this is a real bad call. Wells under CEO Charlie Scharf hasn’t even [had] much of a chance to grow because it spent seven years under a Fed-imposed asset cap, punishment for the misdeeds of the previous management team. But now the asset cap’s gone, and Wells is working to become a growth bank with lots of capital markets exposure. And that’s why we’re sticking with it for the trust. What makes me think there’s still room to run? Because the big banks are still cheap on earnings… Wells Fargo does the same, just 14.”

While we acknowledge the potential of WFC as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.