Categories AlphaGraphs, Earnings, Finance, LATEST

Wells Fargo stock rises after Q3 earnings

This quarter’s earnings season kicked off with the big banks reporting better-than-expected results today. One among them is Wells Fargo (WFC), which beat the Street’s topline estimate modestly while falling short of bottom line estimates. Wells Fargo stock was trading up about 2% in the pre-market trading session.

The company’s profit rose 32% to $6 billion, while profit per share rose 36% to $1.13. Revenue inched up 0.5% to $21.9 billion compared to the prior year quarter. Analysts had expected the bank to report earnings of $1.17 per share.

Wells Fargo third quarter 2018 earnings results

 

CFO John Shrewsberry said that San Francisco-based bank saw positive business trends in the third quarter, including growth in primary consumer checking customers, increased debit and credit card usage, and higher year-over-year loan originations in auto, small business, home equity and personal loans and lines.

Wells Fargo reported profit increases in all three segments (Community Banking, Wholesale Banking, and Wealth and Investment Management) in the recently ended quarter. Noninterest income was slightly down and noninterest expense was down 4%. Average deposits and average loans were down 3% and 1%, respectively.

At the end of September 30, 2018, Wells Fargo had 5,663 retail bank branches, reflecting 93 branch consolidations in Q3 and 207 in the first nine months of 2018. The bank expects to complete the previously announced divestiture of 52 branches in Indiana, Ohio, Michigan and part of Wisconsin in fourth quarter 2018.

Shares of Wells Fargo closed Thursday’s session down 1.89% at $51.44. The stock had dropped 15% for the year-to-date period and 8% in the past 12 months.

Meanwhile, peers JPMorgan (JPM), Citigroup (C) and PNC Financial (PNC) announced their results today and all the banking companies surpassed street’s estimates. While JPM and Citi were trading in an upward trajectory before the bell, PNC stock was slightly down, hit by the costs.

Wells Fargo slides after missing Q2 earnings

 

Most Popular

MU Earnings: Micron’s Q4 profit declines but beats estimates

Micron Technology Inc. (NASDAQ: MU) Thursday said its fourth-quarter profit declined from last year, hurt by a sharp fall in revenues. Earnings, however, beat the market’s projection. On an adjusted

What are Philip Morris’ (PM) anticipations for the near term?

Shares of Philip Morris International Inc. (NYSE: PM) were down 1% on Thursday. The stock has dropped over 9% year-to-date. Although the tobacco industry has felt the pinch of inflation,

Key highlights from CarMax (KMX) Q2 2023 earnings results

CarMax, Inc. (NYSE:KMX) reported second quarter 2023 earnings results today. Net revenues rose 2% year-over-year to $8.1 billion. Net earnings were $125.9 million, or $0.79 per share, compared to $285.2 million,

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top