Financial Winners & Losers: AmEx

In a note to clients Tuesday, Robert W. Baird & Co. analyst David George reiterated an outperform rating on Wells Fargo (WFC Quote) following the bank's $12.6 billion capital raise, which will be used to help fund the company's planned acquisition of Wachovia (WB Quote).

"We view the stock's recent weakness as an attractive buying opportunity, and continue to believe the Wachovia deal has significant strategic and financial merit," George wrote in a note to clients.

George trimmed his 2009 earnings estimate to $2.15 per share from $2.30 per share. Analysts polled by Thomson Reuters, on average, forecast a profit of $2.06 per share in 2009.

Stifel, Nicolaus & Co. analyst Christopher Mutascio also cut his 2009 estimates on Wells Fargo to $2.10 per share from $2.35 per share.

Wells Fargo said Monday that the underwriters of its common stock offering exercised their overallotment option, resulting in total proceeds of $12.6 billion.

Wells Fargo shares were gaining 2.8% to $29.43. Wachovia was rising 3.1% to $5.65.