Wells Fargo & Company

BIT:1WFC Stock Report

Market Cap: €195.7b

Wells Fargo Valuation

Is 1WFC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1WFC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
€109.88
Fair Value
49.5% undervalued intrinsic discount
21
Number of Analysts

Below Fair Value: 1WFC (€55.44) is trading below our estimate of fair value (€109.88)

Significantly Below Fair Value: 1WFC is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1WFC?

Key metric: As 1WFC is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1WFC. This is calculated by dividing 1WFC's market cap by their current earnings.
What is 1WFC's PE Ratio?
PE Ratio10.7x
EarningsUS$18.61b
Market CapUS$214.42b

Price to Earnings Ratio vs Peers

How does 1WFC's PE Ratio compare to its peers?

The above table shows the PE ratio for 1WFC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average7.9x
ISP Intesa Sanpaolo
8.5x4.6%€73.4b
UCG UniCredit
7.2x-0.5%€68.3b
MB Mediobanca Banca di Credito Finanziario
9.3x2.8%€12.3b
BAMI Banco BPM
6.5x-2.0%€12.5b
1WFC Wells Fargo
10.7x6.9%€214.4b

Price-To-Earnings vs Peers: 1WFC is expensive based on its Price-To-Earnings Ratio (10.7x) compared to the peer average (7.9x).

Price to Earnings Ratio vs Industry

How does 1WFC's PE Ratio compare vs other companies in the European Banks Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
1WFC 10.7xIndustry Avg. 8.3xNo. of Companies45PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 1WFC is expensive based on its Price-To-Earnings Ratio (10.7x) compared to the European Banks industry average (8.3x).

Price to Earnings Ratio vs Fair Ratio

What is 1WFC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1WFC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.7x
Fair PE Ratio10.7x

Price-To-Earnings vs Fair Ratio: 1WFC is good value based on its Price-To-Earnings Ratio (10.7x) compared to the estimated Fair Price-To-Earnings Ratio (10.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 1WFC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€55.44
€74.85
+35.0%
7.6%€83.96€59.32n/a21
Mar ’26€74.79
€80.44
+7.6%
7.5%€87.60€61.89n/a21
Feb ’26€75.90
€80.04
+5.5%
7.8%€88.41€62.47n/a21
Jan ’26€67.26
€70.93
+5.5%
11.0%€80.89€56.07n/a22
Dec ’25€73.06
€66.34
-9.2%
11.2%€80.14€56.21n/a22
Nov ’25€59.87
€61.22
+2.3%
8.2%€70.79€54.17n/a22
Oct ’25€50.39
€57.23
+13.6%
6.1%€63.24€51.49n/a22
Sep ’25€52.41
€56.86
+8.5%
6.3%€62.55€50.93n/a23
Aug ’25€53.15
€59.48
+11.9%
5.9%€64.75€53.65n/a22
Jul ’25€56.26
€59.37
+5.5%
6.4%€66.25€51.32n/a23
Jun ’25€54.61
€58.84
+7.8%
6.0%€65.02€51.09n/a24
May ’25€55.87
€58.82
+5.3%
6.9%€65.47€48.64n/a24
Apr ’25€53.66
€54.76
+2.1%
8.2%€62.38€47.48€65.7423
Mar ’25€51.29
€51.78
+1.0%
7.2%€60.85€46.10€74.7924
Feb ’25€44.27
€51.32
+15.9%
7.1%€61.08€46.28€75.9024
Jan ’25€44.73
€47.16
+5.4%
7.2%€51.50€38.85€67.2623
Dec ’24€41.20
€45.65
+10.8%
9.0%€52.37€37.44€73.0623
Nov ’24€37.55
€47.31
+26.0%
9.6%€57.64€40.63€59.8723
Oct ’24€39.07
€46.86
+19.9%
8.8%€57.09€40.24€50.3924
Sep ’24€38.67
€46.42
+20.1%
8.7%€56.10€39.55€52.4124
Aug ’24€41.44
€45.77
+10.5%
8.8%€55.54€38.24€53.1524
Jul ’24€39.20
€44.22
+12.8%
10.0%€55.64€38.31€56.2625
Jun ’24€37.63
€43.83
+16.5%
9.6%€52.62€37.20€54.6125
May ’24€35.81
€44.05
+23.0%
9.5%€52.80€37.32€55.8725
Apr ’24€34.53
€48.10
+39.3%
9.7%€58.68€37.59€53.6624
AnalystConsensusTarget
Consensus Narrative from 21 Analysts
€74.57
Fair Value
25.7% undervalued intrinsic discount
21
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/04/04 01:09
End of Day Share Price 2025/04/04 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Wells Fargo & Company is covered by 59 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Stephen BiggarArgus Research Company
David GeorgeBaird
Jason GoldbergBarclays