Wells Fargo (WFC) Gains But Lags Market: What You Should Know

The most recent trading session ended with Wells Fargo (WFC) standing at $73.99, reflecting a +1.59% shift from the previouse trading day's closing. This change lagged the S&P 500's 2.05% gain on the day. Elsewhere, the Dow saw an upswing of 1.78%, while the tech-heavy Nasdaq appreciated by 2.47%.The the stock of biggest U.S. mortgage lender has risen by 4.9% in the past month, leading the Finance sector's gain of 3.67% and undershooting the S&P 500's gain of 5.21%.Market participants will be closely following the financial results of Wells Fargo in its upcoming release. The company plans to announce its earnings on July 14, 2025. On that day, Wells Fargo is projected to report earnings of $1.42 per share, which would represent year-over-year growth of 6.77%. Meanwhile, our latest consensus estimate is calling for revenue of $20.95 billion, up 1.25% from the prior-year quarter.For the annual period, the Zacks Consensus Estimates anticipate earnings of $5.83 per share and a revenue of $83.5 billion, signifying shifts of +8.57% and +1.47%, respectively, from the last year.Investors should also take note of any recent adjustments to analyst estimates for Wells Fargo. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.46% decrease. Currently, Wells Fargo is carrying a Zacks Rank of #3 (Hold).In terms of valuation, Wells Fargo is presently being traded at a Forward P/E ratio of 12.5. This valuation marks a discount compared to its industry's average Forward P/E of 14.7.Meanwhile, WFC's PEG ratio is currently 1.2. 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 1.2.The Financial - Investment Bank industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 188, placing it within the bottom 24% of over 250 industries.The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Wells Fargo & Company (WFC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks