Will Wells Fargo (WFC) Stock Be Hurt by Raymond James Downgrade?

Wells Fargo (WFC) stock was downgraded to ‘market perform’ from ‘outperform’ at Raymond James on Thursday morning.
By Kaya Yurieff ,

NEW YORK (TheStreet) -- Shares of Wells Fargo (WFC) - Get Report are up 0.64% to $46.95 in mid-morning trading on Thursday even though Raymond James cut its rating on the stock to "market perform" from "outperform."

The firm cited bigger-than-peer NIM contraction because of liquidity build related to TLAC compliance, negative 2016 operating leverage and guidance for low-single-digit organic revenue growth, the Fly reports.

The bank holding company is based in San Francisco.

(Wells Fargo is held in Jim Cramer's charitable trust Action Alerts PLUS. See all of his holding with a free trial here.)

Separately, TheStreet Ratings Team has a "Buy" rating with a score of A- on the stock.

The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, expanding profit margins and attractive valuation levels.

The team believes its strengths outweigh the fact that the company has had lackluster performance in the stock itself.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: WFC

Loading ...