Why Wells Fargo Lags Bank of America, Citigroup, JPMorgan -- Check the Charts

Third-quarter earnings reports were better than expected for the four "too big to fail" money center banks -- Bank of America (BAC) , Citigroup (C) , JPMorgan Chase (JPM) and Wells Fargo (WFC) . The laggard remains Wells Fargo, given the fallout from its cross-selling scandal. Both Citi and Wells Fargo are Action Alerts PLUS holdings.

All four have positive weekly charts, but three have overbought momentum. Regardless of the political outcome on Nov. 8, the biggest banks face the risk of efforts to eventually break them up, or to increase regulations designed to help prevent systemic risks.

Here's a scorecard for the four "too big to fail" banks.

 

Citigroup and Wells Fargo are holdings in Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. Want to be alerted before Cramer buys or sells C or WFC? Learn more now.

Bank of America is up 50.1% since its Feb. 11 low of $10.99, and the stock has a positive but overbought weekly chart. BofA reported earnings on Oct. 17 and beat analysts' estimates.

Citigroup is up 42.4% since its Feb. 11 low of $34.52. The stock has a positive but overbought weekly chart. The stock has been trading back and forth around its 200-week simple moving average since the week of Oct. 7, with this average now at $49.25. Citigroup reported earnings on Oct. 14 and beat analysts' estimates.

JPMorgan Chase is up 31.9% since its Feb. 11 low of $52.50. The stock has a positive but overbought weekly chart. Our nation's largest bank reported earnings on Oct. 14 and beat analysts' estimates.

Wells Fargo set its 2016 low of $43.55 on Oct. 4 and is just 5.6% above this low. The weekly chart ended last week positive and needs a close this week above its key weekly moving average of $46.04 to stay that way. The banking giant reported earnings on Oct. 14 and beat analysts' estimate by just a penny a share.

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