Wells Fargo Analysis: Ride The Stagecoach And Go Long

Discussion in 'Stock Market Forum' started by PaulSchinider, Apr 3, 2014.

  1. PaulSchinider

    PaulSchinider Well-Known Member

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    Wells Fargo looks to benefit from greater efficiency, strong growth in loans, and all-time high home prices. Considering these positive developments, the analysts rate the stock as a buy
     
  2. PaulSchinider

    PaulSchinider Well-Known Member

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    Wells Fargo’s revenues in fiscal year 2013 totaled $83.78 billion, a decline of 2.7% over the last year
     
  3. PaulSchinider

    PaulSchinider Well-Known Member

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    Wells Fargo’s posted a sharp increase in adjusted earnings for fiscal year 2013, posting a 14.7% rise over the last year to $3.89 per share
     
  4. PaulSchinider

    PaulSchinider Well-Known Member

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    Wells Fargo’s management of noninterest expenses has helped boost the company’s earnings per share significantly, even though revenues have been declining
     
  5. PaulSchinider

    PaulSchinider Well-Known Member

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    Wells Fargo’s net interest income and noninterest income has increased at a five-year compound annual growth rate of 11% and 20%
     
  6. PaulSchinider

    PaulSchinider Well-Known Member

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    Mortgage-related assets make up almost 47% of Wells Fargo’s total earning assets, so changes in the housing market have a significant impact on the bank’s revenues and profits
     
  7. PaulSchinider

    PaulSchinider Well-Known Member

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    Wells Fargo’s share price has increased more than 115% in the last five years, while in the past 12 months, the share price rose over 33%.
     
  8. PaulSchinider

    PaulSchinider Well-Known Member

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    The stock price of Wells Fargo is trading at a forward one-year price-to-book value of 1.56x, a premium of 53% to the industry average. The share price is 2.08 times the company’s tangible book value, a premium of 46.5% to the industry average
     
  9. PaulSchinider

    PaulSchinider Well-Known Member

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    The stock price of Wells Fargo is trading at a forward one-year price-to-book value of 1.56x, a premium of 53% to the industry average. The share price is 2.08 times the company’s tangible book value, a premium of 46.5% to the industry average
     
  10. PaulSchinider

    PaulSchinider Well-Known Member

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    Wells Fargo has the highest expected return on equity of 13.26% for fiscal year 2014 among its peers because http://goo.gl/u3DwPo
     
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