BUZZ - Morgan Stanley upgrades rating on Wells Fargo to "Overweight", shares rise in response

路透社2026/10/05 14:11

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On October 5, after Morgan Stanley upgraded Wells Fargo (WFC.N) from "Neutral" to "Overweight", the stock rose 0.9% to $81.14. The brokerage expects that as balance sheet growth slows and Wells Fargo makes greater use of low-cost funding, its net interest margin will stabilize, supporting net interest income growth. Morgan Stanley noted that rising interest rates will also provide additional support, as Wells Fargo is seen as the most interest-rate-sensitive among the money center banks. The company is scheduled to release its third-quarter earnings report on October 13. Of 26 brokerages, 18 rate the stock "Buy" or higher and 8 rate it "Hold"; the median target price is $100, according to LSEG data. Wells Fargo maintains a target price of $102. The stock currently trades at 10.28 times the expected earnings per share for the next 12 months, slightly below the industry median of 10.31 times. WFC has fallen 13% year to date, while the S&P 500 Bank Index has risen 0.3% .SPXBK. (For the convenience of non-English speakers, Reuters provides automated translations of its reports into several other languages. As automated translation may be inaccurate or lack necessary context, Reuters does not guarantee the accuracy of the automated translation and provides it solely for reader convenience. Reuters accepts no liability for damages or losses caused by the use of automated translation services.)

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October 5 - ** After Morgan Stanley upgraded Wells Fargo (WFC.N) from “Neutral” to “Overweight”, the stock rose 0.9% to $81.14

** The brokerage expects net interest margin to stabilize as balance sheet growth slows and Wells Fargo increases its use of low-cost funding, which will support growth in net interest income

** Morgan Stanley said higher rates will also provide additional support, as Wells Fargo is considered the most sensitive money-center bank to interest rates

** The company is scheduled to release its Q3 earnings on October 13

** Out of 26 brokers, 18 have a “Buy” or higher rating on the stock, 8 have a “Hold” rating; median target price is $100 — data compiled by LSEG

** Wells Fargo maintains a target price of $102

** The stock is currently trading at 10.28 times forecast earnings per share for the next 12 months, slightly below the industry median of 10.31 times

** WFC is down 13% year-to-date, while the S&P 500 Banks Index is up 0.3% .SPXBK

(To facilitate non-English speakers, Reuters has automatically translated its reports into several other languages. Because machine translations may be inaccurate or lack necessary context, Reuters does not guarantee the accuracy of automated translations. These translations are provided solely for reader convenience. Reuters accepts no responsibility for any harm or loss arising from the use of these automated translation features.)

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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