ANALYST: WFC Earnings follow up from Oppenheimer

This week Oppenheimer released their quarterly report and gave an update on Wells Fargo WFC one of the US's largest consumer and commercial banking franchises. “4Q14 EPS were $1.02, just shy of our $1.03 estimate but in line with consensus. The deviation versus our expectations came primarily from expenses as revenues were slightly better than expected and credit losses in line. Total PPE of $8.8B were just shy of our $8.9B estimate. The shortfall was all on the expenses as total revenues of $21.4B were slightly better than our $21.2B estimate. Indeed, trading and equity gain revenues were $0.2B below our expectations, so the quality of earnings was even slightly better than the totals suggest.” The firm believes that WFC will be one of the better performers in the industry and currently sees the bank as being moderately undervalued relative to the market. WFC is currently priced at $50.93 during midday trading on Friday with a 52 week high of $55.95. Oppenheimer is currently rating WFC as perform.