2022-10-03 04:42:04 WFC Wells Fargo
10/03/22 10/0304:42 10/03/2204:42 | Wells Fargo upgraded to Buy from Neutral at Goldman SachsGoldman Sachs analyst Richard Ramsden upgraded Wells Fargo to Buy from Neutral with a price target of $48, up from $46, implying 22% total return potential, inclusive of a 3% dividend yield. The analyst sees Wells as an "underappreciated earnings growth story," given its "best-in-class" revenue upside and efficiency improvement from interest rates and loan growth-driven net interest income. The bank also has "idiosyncratic" expense rationalization potential as it laps regulatory related cost inflation and continues to rationalize the business footprint, Ramsden tells investors in a research note. Moreover, in a recessionary scenario, Wells offers less credit risk downside than peers, given its below average loan growth in recent years and less credit card skew, says the analyst. |
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