Here's Why Wells Fargo (WFC) Fell More Than Broader Market

In the latest close session, Wells Fargo (WFC) was down 1.18% at $93.20. The stock's performance was behind the S&P 500's daily loss of 0.74%. At the same time, the Dow lost 0.63%, and the tech-heavy Nasdaq lost 0.76%. The biggest U.S. mortgage lender's shares have seen an increase of 9.26% over the last month, surpassing the Finance sector's gain of 2.1% and the S&P 500's gain of 0.79%.The investment community will be closely monitoring the performance of Wells Fargo in its forthcoming earnings report. The company is scheduled to release its earnings on January 14, 2026. The company's upcoming EPS is projected at $1.65, signifying a 16.20% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $21.49 billion, indicating a 5.45% growth compared to the corresponding quarter of the prior year. For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.28 per share and a revenue of $84.04 billion, signifying shifts of +16.95% and +2.12%, respectively, from the last year. Investors should also note any recent changes to analyst estimates for Wells Fargo. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system. The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.22% lower. Wells Fargo currently has a Zacks Rank of #3 (Hold). In the context of valuation, Wells Fargo is at present trading with a Forward P/E ratio of 15.02. This represents a discount compared to its industry average Forward P/E of 18.09. Also, we should mention that WFC has a PEG ratio of 0.96. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. WFC's industry had an average PEG ratio of 1.16 as of yesterday's close. The Financial - Investment Bank industry is part of the Finance sector. With its current Zacks Industry Rank of 71, this industry ranks in the top 29% of all industries, numbering over 250. The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions. Zacks Naming Top 10 Stocks for 2026Want to be tipped off early to our 10 top picks for the entirety of 2026? History suggests their performance could be sensational.From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2026. Don’t miss your chance to get in on these stocks when they’re released on January 5. Be First to New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Wells Fargo & Company (WFC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks