Wall Street is certainly down on banks once again. Given how weak the economy is and how much debris is still left to clean up from the housing crunch, maybe it's not so surprising. Nevertheless, Wells Fargo (NYSE:WFC) is looking more and more like a bargain as this goes on. The company still has to clean up its balance sheet and the Wachovia integration is going to take time, but this looks like a quality bank that is trading well below its true long run potential.
A Disappointing Third Quarter
Although investors seemed reasonably happy with the results posted by Citigroup (NYSE:C), the news was not as encouraging for Wells Fargo. The company actually missed on the top line, and the bottom line results were not so impressive either. Revenue fell 4% sequentially, with net interest income down 5% and non-interest income down 7%. Wells Fargo actually did pretty well on controlling operating expenses (down 5%), but that's not going to encourage investors enough.
Read the full piece here:
http://stocks.investopedia.com/stock-analysis/2011/Wells-Fargo-Looking-Better-As-Time-Goes-By-WFC-C-BAC-RF-RY-STI-UBS1019.aspx
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