Overall, Wells Fargo's wealth, brokerage and retirement businesses reported second-quarter earnings of $434 million, up 29% from the first quarter. Total revenue rose 2% to $3.3 billion, the company said.
The rising investment banking and wealth management revenue helped Wells Fargo to significantly beat expectations and grow its earnings for a fourteenth straight quarter.
The San Francisco-based lender reported better-than-expected earnings of $5.5 billion, on revenue of $21.4 billion, beating estimates of $5 billion and $21.2 billion respectively.
First-quarter earnings of 98 cents a share surpassed the consensus estimate of 93 cents, according to analyst forecasts compiled by Bloomberg.Consensus was that the lender could see a slight sequential drop-off in earnings for the first time since the worst of the financial crisis, as a 2012 mortgage refinancing boom petered out and interest rates surged at the end of the quarter. "Wells Fargo achieved outstanding results for the second quarter, with our diluted EPS growing for the 14th consecutive quarter and our returns on assets and equity increasing from second quarter 2012 and first quarter 2013," CEO John Stumpf said in a press release.
Buffett Buyback Math Key to Post Stress Test Bank Earnings -- Written by Antoine Gara in New York Follow @antoinegara -- Written by Antoine Gara in New York
Select the service that is right for you!COMPARE ALL SERVICES
- $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
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV