Early Read of Wells Fargo (WFC) Q2 Results - Evercore Partners
Tweet
Share
E-mailGet Alerts WFC Hot Sheet
Price: $83.81 -0.04%
Rating Summary:
28 Buy, 20 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 4 | Down: 13 | New: 23
Rating Summary:
28 Buy, 20 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 4 | Down: 13 | New: 23
Join SI Premium – FREE
Evercore Partners analyst Andrew Marquardt provided an early read of Wells Fargo (NYSE: WFC) Q2 results.
Marquardt noted the headline EPS number of $0.98 included a few specials that net added $0.01, which brings the firm's initial view of "core" EPS closer to $0.97 which beat both theirs and consensus estimates of $0.92.
The analyst said the results were solid overall with good revenue, "with better spread driven by less NIM pressure and earning asset growth (although loan growth muted as expected) , core fees about in line (including mortgage), and expenses a bit heavy on incentives/other." He added, "Lower credit costs driven by lower NCOs and greater reserve release. NPAs declined 7.9% LQ (vs -6.6% in 1Q). Capital strong with T1C B3 of 8.54% post final rules from Fed. "
The firm said a positive stock reaction is likely given core beat and solid underlying results. He said to focus on outlook clarity from management.
They maintained an Equal Weight rating and price target of $41.
For an analyst ratings summary and ratings history on Wells Fargo click here. For more ratings news on Wells Fargo click here.
Shares of Wells Fargo closed at $41.89 yesterday.
Marquardt noted the headline EPS number of $0.98 included a few specials that net added $0.01, which brings the firm's initial view of "core" EPS closer to $0.97 which beat both theirs and consensus estimates of $0.92.
The analyst said the results were solid overall with good revenue, "with better spread driven by less NIM pressure and earning asset growth (although loan growth muted as expected) , core fees about in line (including mortgage), and expenses a bit heavy on incentives/other." He added, "Lower credit costs driven by lower NCOs and greater reserve release. NPAs declined 7.9% LQ (vs -6.6% in 1Q). Capital strong with T1C B3 of 8.54% post final rules from Fed. "
The firm said a positive stock reaction is likely given core beat and solid underlying results. He said to focus on outlook clarity from management.
They maintained an Equal Weight rating and price target of $41.
For an analyst ratings summary and ratings history on Wells Fargo click here. For more ratings news on Wells Fargo click here.
Shares of Wells Fargo closed at $41.89 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Wells Fargo Downgrades Ross Stores, Inc. (ROST) to Equal Weight
- Allegiant Travel Company (ALGT) PT Raised to $103 at UBS
- Ares Management, L.P. (ARES) PT Raised to $153 at TD Cowen
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS ViewRelated Entities
Wells FargoSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
