Wells Fargo Downgraded to "Neutral" at Goldman Sachs (WFC)

Wells Fargo Downgraded to “Neutral” at Goldman Sachs (WFC)

RSS

Wells Fargo & Company (WFC) was downgraded by Goldman Sachs on Friday as analysts believe recent returns are now reflected in the current valuation of the financial services giant.

The analysts downgraded Wells Fargo from “Buy” to “Neutral” and now see shares reaching $40, a +15% upside to Thursday’s closing price of $34.76.

“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,” the Goldman Sachs analyst comments.

Wells Fargo shares were down 31 cents, or -0.89%, in premarket trading on Friday.

The Bottom Line
Shares of Wells Fargo (WFC) have a 2.53% dividend yield, based on last night’s closing stock price of $34.76. The stock has technical support in the $31-$32 price area. If the shares can firm up, we see overhead resistance around the $36-$37 price levels.

Wells Fargo & Company (WFC) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Free Updates

Join over 100,000 investors who get the latest news from Dividend.com.

Best Dividend Stocks

Looking for stocks that are poised for growth and pay solid dividends? Visit our list of the:

Best Dividend Stocks

Partner Center

Best CD Rates

Sitting on some extra cash and looking for the most current and profitable CD Rates?

Get The Best CD Rates

14 Day Free Trial

Earn more from your dividend portfolio within the next 14 days.

Sign Up Today