WFC - Wells Fargo: Strong Q1 Earnings Will Lead To Further Outperformance
2024-04-13 08:00:00 ET
Summary
- Wells Fargo has outperformed other big banks over the past year, and I believe this trend should continue.
- Q1 results were favorable, and particularly so in comparison to some other large American banks.
- The bank's risk management and loan book positioning, along with potential cost savings and regulatory relief, support my bullish outlook.
- The firm has excess capital and is buying back stock aggressively, which adds to the potential upside.
Over the past quarter, Wells Fargo ( WFC ) has dramatically outperformed the other too-big-to-fail American banks, with shares rallying more than 20%. And over the past year, Wells Fargo shares have posted a nearly 50% total return as compared to a 28% increase in the Financial Select Sector ETF ( XLF ):