Market Overview

UPDATE: Goldman Sachs Downgrades Wells Fargo & Company to Neutral, Reiterates $40 PT

Share:
Related WFC
Has Warren Buffett Lost His Touch? Not Even Close
Are The Big Four American Banks Still 'Too Big To Fail'?
Bank Of America - I'm Pounding The Table After The Fed Catalyst (Seeking Alpha)

In a report published Friday, Goldman Sachs Group downgraded its rating on Wells Fargo & Company (NYSE: WFC) from Buy to Neutral, and reiterated its $40.00 price target.

Goldman Sachs noted, “We downgrade WFC from Buy to Neutral. At 1.7x tangible book value vs. peers of 1.2x, we believe that its best-in-class returns are largely reflected in its valuation. Since being added to the Buy list on September 10, 2012, WFC shares are up 0.5% vs. S&P up 2.1%. Over the past twelve months, WFC shares are up 22% vs. the S&P up 14%. While we still believe that WFC is positioned to grow EPS, we see less levers than several peers given 1) its already best-in-class funding costs, 2) less expense leverage and 3) the transition in mortgage banking from an earnings tailwind to a source of earnings support.”

Wells Fargo & Company closed on Thursday at $34.76.

Latest Ratings for WFC

DateFirmActionFromTo
Jan 2015CitigroupMaintainsNeutral
Jan 2015Compass PointMaintainsNeutral
Jan 2015Evercore ISIInitiates Coverage onHold

View More Analyst Ratings for WFC
View the Latest Analyst Ratings

Posted-In: Goldman Sachs GroupAnalyst Color Downgrades Analyst Ratings

 

Related Articles (WFC)

Around the Web, We're Loving...

Get Benzinga's Newsletters