The most recent trading session ended with Wells Fargo (WFC) standing at $76.62, reflecting a +0.22% shift from the previouse trading day's closing. The stock outperformed the S&P 500, which registered a daily loss of 1.59%. Elsewhere, the Dow saw a downswing of 0.45%, while the tech-heavy Nasdaq depreciated by 2.78%.

The biggest U.S. mortgage lender's shares have seen a decrease of 2.45% over the last month, not keeping up with the Finance sector's loss of 0.09% and the S&P 500's loss of 2.23%.

The investment community will be paying close attention to the earnings performance of Wells Fargo in its upcoming release. The company is forecasted to report an EPS of $1.24, showcasing a 1.59% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $20.89 billion, indicating a 0.14% increase compared to the same quarter of the previous year.

WFC's full-year Zacks Consensus Estimates are calling for earnings of $5.87 per share and revenue of $85.17 billion. These results would represent year-over-year changes of +9.31% and +3.5%, respectively.

Investors should also note any recent changes to analyst estimates for Wells Fargo. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.65% higher. Wells Fargo is currently sporting a Zacks Rank of #1 (Strong Buy).

In terms of valuation, Wells Fargo is presently being traded at a Forward P/E ratio of 13.01. This indicates a discount in contrast to its industry's Forward P/E of 13.92.

We can also see that WFC currently has a PEG ratio of 1.15. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Financial - Investment Bank industry currently had an average PEG ratio of 1.15 as of yesterday's close.

The Financial - Investment Bank industry is part of the Finance sector. With its current Zacks Industry Rank of 2, this industry ranks in the top 1% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow WFC in the coming trading sessions, be sure to utilize Zacks.com.

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Wells Fargo & Company (WFC) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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