Wells Fargo (WFC)
Book Value: $28.07
Over 70% of analysts rate Wells Fargo a buy or strong buy and the average price target is $38.64. If you really want a full appreciation of the differences between Wells Fargo and other banks, set your chart for monthly bars and compare the various banks. Wells Fargo and USBancorp (USB) are the two major banks that have more or less sidestepped the financial crisis. Sure, they both became "collateral damage" during the plunge in 2009, nevertheless, they quickly recovered.The Wells Fargo chart more closely resembles the SPY than the other stock charts listed here. Take a look and review the relative start, mid-chart pattern and relative ending prices and Wells Fargo more or less mirrors the overall market. WFC data by YCharts
Wells Fargo has a bullish technical chart pattern based on the 60- and 200-day moving averages, both averages are steadily climbing a wall of worry to higher profits. Trend followers love this pattern and will hold a position until a technical break results in a signal to exit. Wells Fargo is attractive fundamentally also. The trailing 12 month price-to-earnings ratio is 11.3, and analysts estimate $3.32 per share in earnings this year. The company currently pays 88 cents per share in dividends for a yield of 2.58%. Wells Fargo doesn't pay the highest dividend yield in this group, but if you're willing to forego a small amount of yield for safety, Well Fargo offers a compelling argument in this space. Short sellers are next to impossible to find. Short interest is so low I only include it to demonstrate the smart money is not betting against this company: 0.8% of the float is short based on the last reported numbers.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV