Wells Fargo stock: buy or sell
Updated on:
Apr 22nd, 2021
2
Wells Fargo stock brief
- Wells Fargo stock rose 1.65% to close at $43.24 on the stock market on Wednesday.
- Morgan Stanley and Raymond James published bullish ratings for Wells Fargo on Wednesday, with an average forecast of $49.50
- Wells Fargo made public its financial report on April 14
- On April 14 broke out above its latest top at $41.54
- Wells Fargo & Company (NYSE: WFC) is a leading financial services company that has approximately $1.9 trillion in assets and proudly serves one in three U.
Should I buy Wells Fargo stock?
All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $WFC stock a buy?
In the current situation of Wells Fargo there is just one buy setup eligible:
Uptrend buy setup
Wells Fargo stock continues to trend higher since in October 2020 and has marked an amazing 109.90% gain. Price marked a pull back in this uptrend at $37.78 in late March, and since then it bounced off a 14.45%. Price just broke out above the entry point at $41.54, but it can be traded. If price climbs above $43.62, it would be better to wait to another pullback. If you decide to enter this trade, the suggested stop loss is at $37.39
| Buy setup | Buy point | Stop loss | Risk |
| Uptrend buy setup | $41.54 | $37.39 | 10.00% |
Should I sell Wells Fargo stock?
When you are a novel trader and you own a stock with some profit, it's really hard to decide the best moment to sell and get your profits. In the same way as when we have to buy shares, choosing when is appropiate time to sell is not a whimsy decision, and we must follow our own trading style. When selling, as well as buying, detailed setups are very simple to use and are only valid for selling shares you already own, not for shorting $WFC stock
A golden rule is that you must never keep an open trade that generates greater losses than those expected at the time of purchase. The moment to sell shares must always be ruled by the stop-loss (automatic or manual)
Is it time to sell Wells Fargo stock?
In the current situation of Wells Fargo there is not any eligible sell setup, so Wells Fargo stock holders with operations in profit can keep their positions
Wells Fargo ratings
In the last 30 days, 14 analyst ratings were published for Wells Fargo. General sentiment is bullish, with 9 out of 14 publishing positive outlooks
| Brokerage firm | Rating |
|---|---|
| Apr 1st, 2021 | |
| Deutsche Bank Aktiengesellschaft | Buy → |
| Apr 7th, 2021 | |
| Barclays | |
| Apr 9th, 2021 | |
| Jefferies Financial Group | |
| Apr 14th, 2021 | |
| UBS Group | |
| Apr 15th, 2021 | |
| Argus | Neutral |
| Barclays | |
| BMO Capital Markets | Neutral |
| Evercore ISI | Buy |
| Morgan Stanley | Buy |
| Raymond James | Buy |
| Robert W. Baird | Buy |
| Royal Bank of Canada | Neutral |
| Apr 21st, 2021 | |
| Morgan Stanley | Buy |
| Raymond James | Buy |
Wells Fargo stock analysis
Since in October 2020, Wells Fargo has been printing an uptrend that so far marked an amazing 109.90%. The chart shows higher peaks and higher lows, and along the way gave some buy points for those who wanted to enter. Latest pullback was in late March, when price bounced at $37.78. On April 14, Wells Fargo broke out above its last top ($41.54) offering a good buying opportunity
SMAs overview
Supports and resistances
The current resistance levels are:
The current supports are:
Bollinger bands
Since the price surpassed the upper band last Monday, the price has been corrected downwards by 2.61%. The price is moving very close to the upper Bollinger band, poiting some level of overbought in recent sessions. This is not a bearish indicator, as price can move in these levels for many days and weeks
Relative strength index
The RSI dropped below the overbought level of 70 on Tuesday after just crossing to the overbough zone for a single day (weak signal). The RSI value on Wednesday was 64.84
Wells Fargo stock price history
Wells Fargo started trading priced at an adjusted price1 of $0.00 on Jun 1972. Since then, WFC stock surged by -, with an average of 0.00% per year. An investment of $1,000USD on Jun 1972 would have a value of $inf today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Wells Fargo stock
Nobody can predict how much a stock will be priced in the future. Banks and financial organisations issue their analysis forecasting how a stock will performance in the future.
Along with buy or sell recommendations, financial institutions post their price estimates based on the stock price action and the company fundamental data. Most of these estimates follow the publication of new fundamental information by the company, and many times. Again, these targets are not direct recommendations for small investors and should not be followed blindly.
The average price target for Wells Fargo stock calculated from the table below is $45.71. Wells Fargo closed at $43.24 on Wednesday, that is a 5.40% than the target price.
| Brokerage firm | Price target |
|---|---|
| Apr 1st, 2021 | |
| Deutsche Bank Aktiengesellschaft | $35.00 → $45.00 |
| Apr 7th, 2021 | |
| Barclays | $36.00 → $42.00 |
| Apr 9th, 2021 | |
| Jefferies Financial Group | $37.00 → $45.00 |
| Apr 14th, 2021 | |
| UBS Group | $40.00 |
| Apr 15th, 2021 | |
| Argus | $37.00 → $47.00 |
| Barclays | $42.00 → $46.00 |
| BMO Capital Markets | $40.00 → $43.00 |
| Evercore ISI | $38.00 → $48.00 |
| Morgan Stanley | $47.00 → $49.00 |
| Raymond James | $42.00 → $50.00 |
| Robert W. Baird | $41.00 → $46.00 |
| Royal Bank of Canada | $34.00 → $40.00 |
| Apr 21st, 2021 | |
| Morgan Stanley | $47.00 → $49.00 |
| Raymond James | $42.00 → $50.00 |
Earnings and financials
On April 14, Wells Fargo & Company ($WFC) reported EPS for that highly beat Market expectations. Quarterly EPS was $1.05 per share instead of $0.70. This Q1 report means an earnings surprise of 50.00%. On the contrary, reported sales were $18.1 billion, aligned with the market forecasts.
Same quarter last year, reported EPS was $0.01, so current EPS is an improvement of 10,400.00%. Revenue exploded a 39.37% on an annualized basis in the , from $137.1B to $191.1B last quarter.Wells Fargo ($WFC) is posting Q2 earnings report next July. Wall Street analysts predict of $0.89, that is a 15.24% lower than previous quarter.
Wells Fargo performance
| Company | 1m | 3m | 6m |
|---|---|---|---|
| Wells Fargo ($WFC) | 12.30% | 34.20% | 91.80% |
Important:
The viewpoints given in this post are personal and not recommendations for you to buy or sell stocks. The author of this document does not know the individual circumstances of the reader, his or her finances or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are expressed for educative reasons onlyWells Fargo summary
| Wednesday, April 21st, 2021 | |
|---|---|
| Open | $42.24 |
| Close | $43.24 |
| Day range | $41.77 - $43.36 |
| Previous close | $42.54 |
| Session gain | 1.65% |
| Average true range | $1.38 |
| 50d mov avg | $38.62 |
| 100d mov avg | $34.55 |
| 200d mov avg | $29.29 |
| Earnings date | July 13th, 2021 |
Frequently asked questions
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Latest Wells Fargo news
- InvestorPlaceWhy Wells Fargo Could Finally Rally in the Next YearNov 19, 2020