Wells Fargo (WFC, $41.13) misses Q2 earnings expectations
Wells Fargo reported second quarter earnings that were below the Street expectations.
The bank’s earnings for the three months ending in June fell -46.45 from the year-ago quarter to 74 cents per share, compared to the Street consensus forecast of 80 cents per share.
Revenues plunged -16% to $17.028 billion.
Wells Fargo set aside $580 million to cover potential bad loans. In the same period last year, it released around $1.26 billion in loan reserves.
CEO Charlie Scharf said, "While our net income declined in the second quarter, our underlying results reflected our improving earnings capacity with expenses declining and rising interest rates driving strong net interest income growth."
Scharf also mentioned that the company’s results should continue to benefit from the rising interest rate environment, expecting net interest income growth to more than offset any further near-term pressure on noninterest income. "We do expect credit losses to increase from these incredibly low levels, but we have yet to see any meaningful deterioration in either our consumer or commercial portfolios," Scharf mentioned.
WFC in upward trend: price rose above 50-day moving average on June 04, 2026
WFC moved above its 50-day moving average on June 04, 2026 date and that indicates a change from a downward trend to an upward trend. In of 44 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where WFC's RSI Oscillator exited the oversold zone, of 26 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on May 22, 2026. You may want to consider a long position or call options on WFC as a result. In of 77 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for WFC just turned positive on May 22, 2026. Looking at past instances where WFC's MACD turned positive, the stock continued to rise in of 44 cases over the following month. The odds of a continued upward trend are .
The 10-day moving average for WFC crossed bullishly above the 50-day moving average on June 09, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In of 20 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where WFC advanced for three days, in of 331 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 10 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WFC declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
WFC broke above its upper Bollinger Band on June 04, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for WFC entered a downward trend on May 27, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 20, placing this stock worse than average.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. WFC’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.539) is normal, around the industry mean (1.816). P/E Ratio (12.674) is within average values for comparable stocks, (14.622). Projected Growth (PEG Ratio) (1.456) is also within normal values, averaging (1.613). Dividend Yield (0.022) settles around the average of (0.026) among similar stocks. P/S Ratio (3.079) is also within normal values, averaging (3.839).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
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a major bank
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