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Wells Fargo

NYSE:WFC
Snowflake Description

Flawless balance sheet 6 star dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WFC
NYSE
$219B
Market Cap
  1. Home
  2. US
  3. Banks
Company description

Wells Fargo & Company, a diversified financial services company, provides retail, commercial, and corporate banking services to individuals, businesses, and institutions. The last earnings update was 25 days ago. More info.


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WFC Share Price and Events
7 Day Returns
-4.6%
NYSE:WFC
-7.4%
US Banks
-1.1%
US Market
1 Year Returns
-5.2%
NYSE:WFC
-9.6%
US Banks
6.4%
US Market
WFC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Wells Fargo (WFC) -4.6% -1.4% 10.8% -5.2% -1.2% -2%
US Banks -7.4% -7.7% 9.7% -9.6% 40.7% 32.9%
US Market -1.1% 0.3% 17.2% 6.4% 37.9% 42.1%
1 Year Return vs Industry and Market
  • WFC outperformed the Banks industry which returned -9.6% over the past year.
  • WFC underperformed the Market in United States of America which returned 6.4% over the past year.
Price Volatility
WFC
Industry
5yr Volatility vs Market

WFC Value

 Is Wells Fargo undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Wells Fargo to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Wells Fargo.

NYSE:WFC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 22 analysts.
= Stable Book Value * Return on Equity
= $41.13 * 13.4%
$5.49
Book Value of Equity per Share Weighted future Book Value estimates from 18 analysts. $41.13
Discount Rate (Cost of Equity) See below 10.2%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:WFC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Banks Unlevered Beta Simply Wall St/ S&P Global 0.61
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.611 (1 + (1- 21%) (156.47%))
1.246
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.25
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.246 * 5.96%)
10.16%

Discounted Cash Flow Calculation for NYSE:WFC using Excess Returns Model Model

The calculations below outline how an intrinsic value for Wells Fargo is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NYSE:WFC Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (13.4% – 10.16%) * $41.13)
$1.32
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $1.32 / (10.16% - 2.73%)
$17.72
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $41.13 + $17.72
$58.85
NYSE:WFC Discount to Share Price
Calculation Result
Value per share (USD) From above. $58.85
Current discount Discount to share price of $48.31
= -1 x ($48.31 - $58.85) / $58.85
17.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Wells Fargo is available for.
Intrinsic value
18%
Share price is $48.31 vs Future cash flow value of $58.85
Current Discount Checks
For Wells Fargo to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Wells Fargo's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Wells Fargo's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Wells Fargo's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Wells Fargo's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:WFC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $4.31
NYSE:WFC Share Price ** NYSE (2019-03-22) in USD $48.31
United States of America Banks Industry PE Ratio Median Figure of 587 Publicly-Listed Banks Companies 12.68x
United States of America Market PE Ratio Median Figure of 3,062 Publicly-Listed Companies 17.16x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Wells Fargo.

NYSE:WFC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:WFC Share Price ÷ EPS (both in USD)

= 48.31 ÷ 4.31

11.21x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Wells Fargo is good value based on earnings compared to the US Banks industry average.
  • Wells Fargo is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Wells Fargo's expected growth come at a high price?
Raw Data
NYSE:WFC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 11.21x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 22 Analysts
5.6%per year
United States of America Banks Industry PEG Ratio Median Figure of 260 Publicly-Listed Banks Companies 1.13x
United States of America Market PEG Ratio Median Figure of 2,105 Publicly-Listed Companies 1.44x

*Line of best fit is calculated by linear regression .

NYSE:WFC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 11.21x ÷ 5.6%

2x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Wells Fargo is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Wells Fargo's assets?
Raw Data
NYSE:WFC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $38.08
NYSE:WFC Share Price * NYSE (2019-03-22) in USD $48.31
United States of America Banks Industry PB Ratio Median Figure of 592 Publicly-Listed Banks Companies 1.2x
United States of America Market PB Ratio Median Figure of 5,165 Publicly-Listed Companies 1.85x
NYSE:WFC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:WFC Share Price ÷ Book Value per Share (both in USD)

= 48.31 ÷ 38.08

1.27x

* Primary Listing of Wells Fargo.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Wells Fargo is overvalued based on assets compared to the US Banks industry average.
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Value checks
We assess Wells Fargo's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Banks industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Banks industry average (and greater than 0)? (1 check)
  5. Wells Fargo has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

WFC Future Performance

 How is Wells Fargo expected to perform in the next 1 to 3 years based on estimates from 22 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
5.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Wells Fargo expected to grow at an attractive rate?
  • Wells Fargo's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Wells Fargo's earnings growth is positive but not above the United States of America market average.
  • Wells Fargo's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:WFC Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:WFC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 22 Analysts 5.6%
NYSE:WFC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 22 Analysts 1.4%
United States of America Banks Industry Earnings Growth Rate Market Cap Weighted Average 4.3%
United States of America Banks Industry Revenue Growth Rate Market Cap Weighted Average 5.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:WFC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:WFC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 88,509 23,560 2
2020-12-31 86,890 23,673 14
2019-12-31 85,555 22,276 14
NYSE:WFC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 84,696 36,073 20,689
2018-09-30 85,732 21,417 20,718
2018-06-30 85,503 24,291 19,396
2018-03-31 86,082 20,814 20,054
2017-12-31 85,989 18,619 20,554
2017-09-30 85,283 23,108 19,686
2017-06-30 85,674 11,179 20,798
2017-03-31 85,082 8,170 20,521
2016-12-31 84,541 1,008 20,373
2016-09-30 84,550 -8,847 20,704
2016-06-30 84,199 12,487 20,904
2016-03-31 84,129 18,171 21,094

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Wells Fargo's earnings are expected to grow by 5.6% yearly, however this is not considered high growth (20% yearly).
  • Wells Fargo's revenue is expected to grow by 1.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:WFC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below

All data from Wells Fargo Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:WFC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 6.10 6.42 5.88 4.00
2020-12-31 5.66 6.39 4.79 25.00
2019-12-31 4.94 5.25 4.69 26.00
NYSE:WFC Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 4.31
2018-09-30 4.26
2018-06-30 3.96
2018-03-31 4.06
2017-12-31 4.14
2017-09-30 3.94
2017-06-30 4.15
2017-03-31 4.07
2016-12-31 4.03
2016-09-30 4.08
2016-06-30 4.10
2016-03-31 4.12

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Wells Fargo is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Wells Fargo's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Wells Fargo has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

WFC Past Performance

  How has Wells Fargo performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Wells Fargo's growth in the last year to its industry (Banks).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Wells Fargo's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Wells Fargo's 1-year earnings growth exceeds its 5-year average (0.7% vs -1.7%)
  • Wells Fargo's earnings growth has not exceeded the US Banks industry average in the past year (0.7% vs 43.4%).
Earnings and Revenue History
Wells Fargo's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Wells Fargo Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:WFC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 84,696.00 20,689.00 40,547.00
2018-09-30 85,732.00 20,718.00 41,054.00
2018-06-30 85,503.00 19,396.00 40,814.00
2018-03-31 86,082.00 20,054.00 40,546.00
2017-12-31 85,989.00 20,554.00 40,422.00
2017-09-30 85,283.00 19,686.00 40,844.00
2017-06-30 85,674.00 20,798.00 40,226.00
2017-03-31 85,082.00 20,521.00 39,099.00
2016-12-31 84,541.00 20,373.00 38,826.00
2016-09-30 84,550.00 20,704.00 37,304.00
2016-06-30 84,199.00 20,904.00 36,793.00
2016-03-31 84,129.00 21,094.00 36,641.00
2015-12-31 83,690.00 21,470.00 36,514.00
2015-09-30 83,846.00 21,649.00 36,115.00
2015-06-30 83,519.00 21,614.00 36,104.00
2015-03-31 83,350.00 21,675.00 35,987.00
2014-12-31 82,980.00 21,821.00 35,493.00
2014-09-30 82,296.00 21,808.00 34,524.00
2014-06-30 81,854.00 21,717.00 34,648.00
2014-03-31 81,731.00 21,565.00 34,708.00
2013-12-31 81,456.00 20,889.00 35,625.00
2013-09-30 81,256.00 20,377.00 35,426.00
2013-06-30 80,475.00 19,777.00 35,044.00
2013-03-31 79,238.00 18,908.00 34,602.00
2012-12-31 78,839.00 17,999.00 34,416.00
2012-09-30 77,300.00 17,030.00 34,599.00
2012-06-30 75,495.00 16,152.00 34,098.00
2012-03-31 74,554.00 15,477.00 34,024.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Wells Fargo has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Wells Fargo used its assets more efficiently than the US Banks industry average last year based on Return on Assets.
  • Unable to establish if Wells Fargo improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess Wells Fargo's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Banks industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Wells Fargo has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

WFC Health

 How is Wells Fargo's financial position? (This company is analysed differently as a bank or financial institution)

This company is a bank or financial institution.

Fundamentally a bank's business is based upon borrowing and lending money, for this reason they typically have high levels of debt and we analyse them differently.
Net Worth
Balance sheet
This treemap shows a more detailed breakdown of Wells Fargo's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Wells Fargo Company Filings, last reported 2 months ago.

NYSE:WFC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 197,066.00 343,330.00 341,274.00
2018-09-30 199,679.00 335,360.00 346,131.00
2018-06-30 206,069.00 332,287.00 343,312.00
2018-03-31 205,910.00 332,392.00 372,605.00
2017-12-31 208,079.00 337,072.00 383,522.00
2017-09-30 206,824.00 342,201.00 391,994.00
2017-06-30 206,145.00 345,861.00 380,515.00
2017-03-31 202,489.00 363,800.00 408,680.00
2016-12-31 200,497.00 366,350.00 357,810.00
2016-09-30 203,958.00 393,106.00 397,114.00
2016-06-30 202,661.00 379,668.00 398,766.00
2016-03-31 198,504.00 350,775.00 394,236.00
2015-12-31 193,891.00 310,984.00 357,219.00
2015-09-30 194,043.00 288,738.00 348,375.00
2015-06-30 190,676.00 277,410.00 332,472.00
2015-03-31 189,964.00 279,414.00 394,226.00
2014-12-31 185,262.00 266,199.00 346,719.00
2014-09-30 182,990.00 255,023.00 349,455.00
2014-06-30 181,549.00 237,961.00 328,821.00
2014-03-31 176,469.00 220,103.00 304,343.00
2013-12-31 171,008.00 206,881.00 296,525.00
2013-09-30 168,813.00 213,712.00 259,688.00
2013-06-30 163,777.00 192,300.00 224,299.00
2013-03-31 163,395.00 194,551.00 232,079.00
2012-12-31 158,911.00 196,496.00 206,534.00
2012-09-30 156,059.00 182,758.00 176,431.00
2012-06-30 149,437.00 181,007.00 154,634.00
2012-03-31 146,849.00 180,716.00 165,232.00
BANK ANALYSIS

This company is a bank or financial institution, which is analysed accordingly below.

Below we check the amount of loans the bank has, how many of those are bad, and its ability to cover any bad loans.
  • Wells Fargo has an acceptable proportion of non-loan assets held.
  • Wells Fargo's liabilities are made up of primarily low risk sources of funding.
  • Loans at Wells Fargo are broadly funded by customer deposits.
  • Wells Fargo's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).
  • Wells Fargo has a sufficient allowance for bad loans.
  • Wells Fargo has an acceptable level of bad loans (less than 2%).
X
Financial health checks
We assess Wells Fargo's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Wells Fargo has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

WFC Dividends

 What is Wells Fargo's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.73%
Current annual income from Wells Fargo dividends. Estimated to be 4.03% next year.
If you bought $2,000 of Wells Fargo shares you are expected to receive $75 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Wells Fargo's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
  • Wells Fargo's dividend is above the markets top 25% of dividend payers in United States of America (3.72%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:WFC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 22 Analyst Estimates (S&P Global) See Below
United States of America Banks Industry Average Dividend Yield Market Cap Weighted Average of 469 Stocks 3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2003 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.9%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:WFC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 2.21 6.00
2020-12-31 2.01 25.00
2019-12-31 1.83 26.00
NYSE:WFC Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-01-22 1.800 3.630
2018-10-23 1.720 3.447
2018-07-24 1.720 3.070
2018-07-13 1.720 3.028
2018-04-24 1.560 2.868
2018-01-23 1.560 2.770
2017-10-24 1.560 2.676
2017-07-27 1.560 2.942
2017-04-25 1.520 2.819
2017-01-24 1.520 2.697
2016-10-25 1.520 2.896
2016-07-26 1.520 3.232
2016-04-26 1.520 3.134
2016-01-26 1.500 3.083
2015-10-27 1.500 2.803
2015-07-28 1.500 2.799
2015-04-28 1.500 2.653
2015-04-14 1.500 2.745
2015-01-27 1.400 2.569
2014-10-28 1.400 2.613
2014-07-22 1.400 2.741
2014-04-29 1.400 2.744
2014-04-11 1.400 2.859
2014-01-28 1.200 2.544
2013-10-22 1.200 2.712
2013-07-23 1.200 2.832
2013-03-15 1.200 3.049
2013-01-24 1.000 2.816
2012-10-23 0.980 2.906
2012-07-24 0.980 2.848
2012-04-24 0.980 3.009
2012-01-24 0.580 1.817
2011-10-25 0.480 1.805
2011-07-26 0.480 1.919
2011-04-20 0.480 1.723
2011-01-25 0.200 0.625
2010-10-26 0.200 0.684
2010-07-27 0.200 0.778
2010-04-27 0.200 0.700
2010-01-26 0.200 0.675
2009-10-27 0.200 0.729
2009-07-28 0.200 0.718
2009-04-28 0.200 0.827
2009-03-25 1.360 7.938

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Wells Fargo's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.6x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).
X
Income/ dividend checks
We assess Wells Fargo's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Wells Fargo afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Wells Fargo has a total score of 6/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

WFC Management

 What is the CEO of Wells Fargo's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tim Sloan
COMPENSATION $18,426,734
AGE 57
TENURE AS CEO 2.4 years
CEO Bio

Mr. Timothy J. Sloan, also known as Tim, has been the Chief Executive Officer of Wells Fargo & Company since October 12, 2016 and as its President since November 17, 2015. He serves as President at WFC Holdings Corporation. Mr. Sloan served as the Chief Operating Officer at Wells Fargo & Company from November 17, 2015 to October 12, 2016. He served as the Head of Wholesale Banking and Senior Executive Vice President of Wholesale Banking at Wells Fargo & Company from May 15, 2014 to November 2015. He served as Head of Wholesale Banking and Senior Executive Vice President of Wholesale Banking at Wells Fargo Bank, National Association. Mr. Sloan was the Chief Financial Officer and Executive Vice President at Wells Fargo Bank, National Association from February 2011 to May 2014. He served as the of Senior Executive Vice President of Wells Fargo & Company from February 8, 2011 to May 15, 2014. Mr. Sloan served as the Chief Financial Officer and Senior Executive Vice President for Wachovia Preferred Funding Corp. since February 23, 2011. He was Executive Vice President (Commercial Banking, Real Estate and Specialized Financial Services) of Wells Fargo Bank, N.A. from 2006 to 2010 He served as the Chief Administrative Officer of Wells Fargo & Company from September 3, 2010 to February 8, 2011. He served as an Executive Vice President of Wachovia Preferred Funding Corp. since February 23, 2011. He served as the Head of Commercial Banking Real Estate & Specialized Financial Services at Wells Fargo & Company. He served as the Head of Specialized Financial Services for Wells Fargo & Company. He served as an Executive Vice President of Wholesale Banking with Wells Fargo Bank, National Association, from August 2003 to September 2010. Mr. Sloan joined Wells Fargo in 1987. Mr. Sloan has been a Director of Wells Fargo & Company since October 12, 2016. He served as an Independent Director of California Resources Corporation since December 1, 2014 until February 28, 2017. Mr. Sloan serves on the Board of Overseers of the Huntington Library and is a member of the University of Michigan's Ross School of Business Advisory Board. He is a trustee of Ohio Wesleyan University and the City of Hope. Mr. Sloan holds a B.A. in Economics and History and an M.B.A. in Finance and Accounting from the University of Michigan.

CEO Compensation
  • Tim's compensation has been consistent with company performance over the past year.
  • Tim's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Wells Fargo management team in years:

3.3
Average Tenure
55.5
Average Age
  • The tenure for the Wells Fargo management team is about average.
Management Team

Tim Sloan

TITLE
CEO, President & Director
COMPENSATION
$18M
AGE
57
TENURE
2.4 yrs

John Shrewsberry

TITLE
Senior EVP & CFO
COMPENSATION
$13M
AGE
52
TENURE
4.8 yrs

Avid Modjtabai

TITLE
Senior EVP of Payments
COMPENSATION
$10M
AGE
56
TENURE
11.9 yrs

Perry Pelos

TITLE
Senior Executive Vice President of Wholesale Banking
COMPENSATION
$9M
AGE
54
TENURE
10.1 yrs

Mary Mack

TITLE
Head of Consumer Banking
COMPENSATION
$9M
AGE
55
TENURE
2.1 yrs

Titi Cole

TITLE
Head of Operations & Executive VP
TENURE
1.9 yrs

Rich Levy

TITLE
Executive VP
AGE
60

Scott Dillon

TITLE
Chief Technology Officer
TENURE
3.1 yrs

Hope Hardison

TITLE
Chief Administrative Officer
AGE
53
TENURE
3.6 yrs

John Campbell

TITLE
Head of Investor Relations
AGE
84
Board of Directors Tenure

Average tenure and age of the Wells Fargo board of directors in years:

2.4
Average Tenure
63.5
Average Age
  • The average tenure for the Wells Fargo board of directors is less than 3 years, this suggests a new board.
Board of Directors

Betsy Duke

TITLE
Chairman of the Board
COMPENSATION
$631K
AGE
65
TENURE
1.2 yrs

Tim Sloan

TITLE
CEO, President & Director
COMPENSATION
$18M
AGE
57
TENURE
2.4 yrs

Henry Jordan

TITLE
Chairman & CEO of Wells Fargo Capital Finance
AGE
62

Don James

TITLE
Independent Director
COMPENSATION
$358K
AGE
69
TENURE
10.2 yrs

John Baker

TITLE
Independent Director
COMPENSATION
$350K
AGE
69
TENURE
10.2 yrs

Jim Quigley

TITLE
Independent Director
COMPENSATION
$417K
AGE
66
TENURE
5.4 yrs

Zan Vautrinot

TITLE
Independent Director
COMPENSATION
$348K
AGE
58
TENURE
4.1 yrs

Ron Sargent

TITLE
Independent Director
COMPENSATION
$359K
AGE
62
TENURE
2.1 yrs

Ted Craver

TITLE
Independent Director
COMPENSATION
$404K
AGE
66
TENURE
1.2 yrs

Maria Morris

TITLE
Independent Director
COMPENSATION
$413K
AGE
55
TENURE
1.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
17. Aug 18 Sell Avid Modjtabai Individual 17. Aug 18 17. Aug 18 -100,000 $58.71 $-5,871,000
14. Aug 18 Sell Hope Hardison Individual 13. Aug 18 13. Aug 18 -25,000 $58.01 $-1,450,250
25. May 18 Sell Petros Pelos Individual 24. May 18 24. May 18 -25,567 $54.76 $-1,400,049
X
Management checks
We assess Wells Fargo's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Wells Fargo has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

WFC News

Simply Wall St News

Intrinsic Calculation For Wells Fargo & Company (NYSE:WFC) Shows Investors Are Overpaying

Valuing WFC, a bank stock, can be daunting since these financial companies have cash flows that are impacted by regulations that are not imposed upon other industries. … The tiered capital structure is common for banks to abide by, in order to ensure they maintain a sufficient level of cash for their customers.

Simply Wall St -

Wells Fargo & Company (NYSE:WFC) Delivered A Better ROE Than The Industry, Here’s Why

Wells Fargo & Company (NYSE:WFC) performed in-line with its diversified banks industry on the basis of its ROE – producing a return of10.71% relative to the peer average of 8.45% over the past 12 months. … If WFC borrows debt to invest in its business, its profits will be higher. … But ROE does not capture any debt, so we only see high profits and low equity, which is great on the surface

Simply Wall St -

Why These Fundamentals Make Wells Fargo & Company’s (NYSE:WFC) More Attractive

Wells Fargo & Company (NYSE:WFC) is a large-cap stock operating in the financial services sector with a market cap of US$260.36b. … As major financial institutions return to health after the Global Financial Crisis, we are seeing an increase in market confidence, and understanding of, these “too-big-to-fail” banking stocks. … The Basel III reforms are aimed at banking regulations to improve financial institutions’ ability to absorb shocks caused by economic stress which could expose banks to vulnerabilities.

Simply Wall St -

Should You Be Tempted To Buy Wells Fargo & Company (NYSE:WFC) At Its Current PE Ratio?

This article is intended for those of you who are at the beginning of your investing journey. … and want to better understand how you can grow your money by investing in Wells Fargo & Company (NYSE:WFC). … Wells Fargo & Company (NYSE:WFC) is trading with a trailing P/E of 13.6x, which is lower than the industry average of 17x.

Simply Wall St -

Wells Fargo & Company (NYSE:WFC): Is Financials An Attractive Sector Play?

See our latest analysis for Wells Fargo What’s the catalyst for Wells Fargo's sector growth? … Wells Fargo lags the pack with its negative growth rate of -0.25% over the past year, which indicates the company will be growing at a slower pace than its banking peers. … Although Wells Fargo is poised to deliver a 13.10% growth next year, moving it from negative to positive territory, it still lags its industry average rate of growth of 25.35%.

Simply Wall St -

Was Wells Fargo & Company's (NYSE:WFC) Earnings Decline Part Of A Broader Industry Downturn?

In this article, I will take a look at Wells Fargo & Company's (NYSE:WFC) most recent earnings update (31 March 2018) and compare these latest figures against its performance over the past few years, along with how the rest of WFC's industry performed. … See our latest analysis for Wells Fargo How Did WFC's Recent Performance Stack Up Against Its Past? … For Wells Fargo, its latest earnings (trailing twelve month) is US$20.05B, which compared to the previous year's figure, has dropped by -2.28%.

Simply Wall St -

Is Wells Fargo & Company (NYSE:WFC) A Smart Pick For Income Investors?

Over the past 10 years, Wells Fargo & Company (NYSE:WFC) has returned an average of 3.00% per year to shareholders in terms of dividend yield. … View our latest analysis for Wells Fargo 5 questions to ask before buying a dividend stock If you are a dividend investor, you should always assess these five key metrics: Is it the top 25% annual dividend yield payer? … Relative to peers, Wells Fargo generates a yield of 2.85%, which is on the low-side for Banks stocks.Next Steps: With these dividend metrics in mind, I definitely rank Wells Fargo as a strong income stock, and is worth further research for anyone who considers dividends an important part of their portfolio strategy.

Simply Wall St -

Wells Fargo & Company (NYSE:WFC) Is Undervalued By 2%

NYSE:WFC Intrinsic Value May 7th 18 The Calculation The key assumption for this model is, the value of the company is how much money it can generate from its current level of equity capital, in excess of the cost of that capital. … The returns above the cost of equity is known as excess returns: Excess Return Per Share = (Stable Return On Equity – Cost Of Equity) (Book Value Of Equity Per Share) = (12.27% – 9.92%) * $40.48 = $0.95 We use this value to calculate the terminal value of the company, which is how much we expect the company to continue to earn every year, forever. … This is a common component of discounted cash flow models: Terminal Value Per Share = Excess Return Per Share / (Cost of Equity – Expected Growth Rate) = $0.95 / (9.92% – 2.47%) = $12.8 Combining these components gives us WFC's intrinsic value per share: Value Per Share = Book Value of Equity Per Share + Terminal Value Per Share = $40.48 + $12.8 = $53.29 Relative to today's price of $52.41, WFC is fairly priced by the market.

Simply Wall St -

Should You Buy Wells Fargo & Company (NYSE:WFC)?

Wells Fargo & Company (NYSE:WFC) received a lot of attention from a substantial price movement on the NYSE over the last few months, increasing to $65.82 at one point, and dropping to the lows of $50.39. … Let’s take a look at Wells Fargo’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. … According to my valuation model, Wells Fargo seems to be fairly priced at around 1.45% below my intrinsic value, which means if you buy Wells Fargo today, you’d be paying a fair price for it.

Simply Wall St -

What Makes Wells Fargo & Company (NYSE:WFC) A Hard Investment?

Check out our latest analysis for Wells Fargo NYSE:WFC Historical Debt Apr 19th 18 Is WFC's Leverage Level Appropriate? … What Is WFC's Level of Liquidity? … Compared to the appropriate industry loan to deposit level of 90%, Wells Fargo’s ratio of over 71.87% is sensibly lower and within the safe margin, which places the bank in a relatively safe liquidity position given it has not excessively lent out its deposits and has maintained a suitable level for compliance.Next Steps: Wells Fargo meets all of our liquidity and leverage criteria, exhibiting operational prudency.

Simply Wall St -

WFC Company Info

Description

Wells Fargo & Company, a diversified financial services company, provides retail, commercial, and corporate banking services to individuals, businesses, and institutions. It operates through three segments: Community Banking, Wholesale Banking, and Wealth and Investment Management. The company also engages in the wholesale banking, mortgage banking, consumer finance, equipment leasing, agricultural finance, commercial finance, securities brokerage and investment banking, computer and data processing, trust, investment advisory, mortgage-backed securities, and venture capital investment services. As of February 7, 2019, it operated through 7,800 locations, 13,000 ATMs, and the Internet and mobile banking, as well as has offices in 37 countries and territories. Wells Fargo & Company was founded in 1852 and is headquartered in San Francisco, California.

Details
Name: Wells Fargo & Company
WFC
Exchange: NYSE
Founded: 1852
$219,421,692,424
4,541,951,820
Website: http://www.wellsfargo.com
Address: Wells Fargo & Company
420 Montgomery Street,
San Francisco,
California, 94163,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE WFC Common Stock New York Stock Exchange US USD 02. Jan 1968
DB NWT Common Stock Deutsche Boerse AG DE EUR 02. Jan 1968
XTRA NWT Common Stock XETRA Trading Platform DE EUR 02. Jan 1968
LSE 0R2F Common Stock London Stock Exchange GB USD 02. Jan 1968
SWX WFC Common Stock SIX Swiss Exchange CH CHF 02. Jan 1968
WBAG WFC Common Stock Wiener Boerse AG AT EUR 02. Jan 1968
SNSE WFC Common Stock Santiago Stock Exchange CL USD 02. Jan 1968
BMV WFC * Common Stock Bolsa Mexicana de Valores MX MXN 02. Jan 1968
NYSE WFC.PRN DEP SHS REPSTG 1 New York Stock Exchange US USD 13. Aug 2012
NYSE WFC.PRO DEP1/1000PF CL A New York Stock Exchange US USD 15. Nov 2012
NYSE WFC.PRP DEP1/1000PF CL A New York Stock Exchange US USD 19. Mar 2013
NYSE WFC.PRQ DEP SHS 1/1000 A New York Stock Exchange US USD 16. Jul 2013
NYSE WFC.PRR DEP 1/1000 PFD A New York Stock Exchange US USD 13. Dec 2013
NYSE WFC.PRT DEP SHS 1/1000 T New York Stock Exchange US USD 17. Jul 2014
NYSE WFC.PRV DEP PFD V 1/1000 New York Stock Exchange US USD 10. Sep 2015
NYSE WFC.PRW PFD SER W CL A New York Stock Exchange US USD 21. Jan 2016
NYSE WFC.PRX PFD SER X CL A New York Stock Exchange US USD 10. Jun 2016
NYSE WFC.PRY NON CUM PFD Y New York Stock Exchange US USD 18. Apr 2017
NYSE WFC.PRL PERP PFD CNV A New York Stock Exchange US USD 15. Apr 2008
BOVESPA WFCO34 BDR EACH REPR 1 COM SH Bolsa de Valores de Sao Paulo BR BRL 03. Jan 2012
BASE WFC CEDEAR EACH 5 REP 1 COM USD1.666666 Buenos Aires Stock Exchange AR ARS 26. Jul 2001
DB NWT2 7.98%-FR PERP PRF CL 'A' SRS K USD1000 Deutsche Boerse AG DE USD 08. Jan 2009
Number of employees
Current staff
Staff numbers
258,700
Wells Fargo employees.
Industry
Diversified Banks
Banks
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/24 23:44
End of day share price update: 2019/03/22 00:00
Last estimates confirmation: 2019/03/20
Last earnings filing: 2019/02/27
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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 here.