Wells Fargo & Company is a financial services company that provides diversified banking, investment, mortgage, and consumer and commercial finance products and services in the United States and internationally. It operates through four segments: Consumer Banking and Lending; Commercial Banking; Corporate and Investment Banking; and Wealth and Investment Management. Its offerings include checking and savings accounts, credit and debit cards, home, auto, personal, and small business lending, as well as wealth management, brokerage, financial planning, private banking, trust and fiduciary services, and capital markets, banking, and financial products for corporate, government, and institutional clients. Founded in 1852, the company is headquartered in San Francisco, California.
Wells Fargo Downgrades Netflix to Underweight, Cuts Price Target to $57
Wells Fargo downgraded Netflix to Underweight and cut its price target to $57 from $80, sending the streaming giant's shares down about 5% on Friday. The firm pointed to changing viewing patterns and uncertainty around Netflix's content pipeline as reasons for the more cautious stance, and said the new target implies the stock trading well below its most recent closing level. Wells Fargo analysts estimated overall viewing activity on Netflix declined 8% year over year during the first six months of 2026, adding that engagement with the company's leading original productions weakened and could deteriorate further during the remainder of the year. The report noted Netflix has broadened its entertainment offerings into categories such as sports, gaming and documentaries while increasing its presence on external platforms including Alphabet-owned YouTube, an approach that may expand reach but could alter the balance between broad engagement and blockbuster original programming. The brokerage also trimmed its profitability forecasts for 2027 and 2028, citing expectations for higher content-related pressure, and said investors may face greater uncertainty around future earnings trends as Netflix evaluates its spending priorities and programming strategy.
Wells Fargo Launches ExpressSend Mobile Remittance Service in 12 Countries
Wells Fargo has introduced ExpressSend Mobile, a dedicated remittance feature inside its consumer banking app that supports real-time international transfers from U.S. accounts to recipients in 12 countries. The bank says the launch makes it the only major U.S. bank offering an in-app, branded remittance channel of this type, putting it in direct competition with money transfer specialists inside its own app. Wells Fargo is one of the largest U.S. banks by market value at $263.2 billion and runs a broad mix of retail banking, mortgage lending, and consumer finance services, giving it a sizable existing customer base to plug into the new cross-border transfer tool. The company has not disclosed user adoption or transaction volume figures for ExpressSend Mobile, and investors will be watching for growth in active remittance users or transfer counts per quarter, as well as any commentary linking ExpressSend flows to higher digital engagement or cross-sell activity.
Major US Banks Raise Prime Rate to 7.0% After Fed Hike
Following the Federal Reserve's decision to raise its policy rate, major US banks announced on the 16th that they are raising their prime rate. The Fed decided on its first rate hike since 2023 that day. Accordingly, JPMorgan Chase, Bank of America, Citigroup, Wells Fargo, KeyCorp, Huntington Bancshares, Fifth Third Bancorp, and Truist Financial will change their prime rate from the current 6.75% to 7.0%, effective the 17th. The prime rate is tied to the federal funds rate that the Fed targets and serves as the benchmark for setting interest rates on many financial products, including credit cards and personal loans. In general, rate hikes boost bank earnings through an increase in net interest income, the difference between lending and deposit rates, while monetary tightening can slow parts of the economy and lead to weaker loan demand and deteriorating borrower credit quality. Even so, at an industry conference held in New York this week, executives from major banks voiced a succession of positive views on the US economy.
Wells Fargo Bank Raises Prime Rate to 7.00 Percent
Wells Fargo Bank, N.A. said it is increasing its prime rate to 7.00 percent from 6.75 percent, effective tomorrow, Sept. 17, 2026. The bank announced the change today from San Francisco. Wells Fargo & Company, the parent, is a financial services company with approximately $2.3 trillion in assets and four reportable operating segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth & Investment Management. Wells Fargo ranked No. 38 on Fortune's 2026 rankings of America's largest corporations.
Wells Fargo Raises 2026 Loan-Growth Outlook as Shares Slip 1.8%
Wells Fargo raised its 2026 loan-growth outlook after CFO Mike Santomassimo cited a resilient U.S. economy and healthy borrower demand, even as the shares fell approximately 1.8% to $88.16. Average loans climbed roughly 12% in the second quarter, well ahead of management's earlier expectation for mid-single-digit annual growth. The bank kept its roughly $50 billion net-interest-income forecast and $55.7 billion expense outlook unchanged, while management projected mid-single-digit third-quarter growth in both investment-banking fees and markets revenue. At $88.16, Wells Fargo trades about 4.16% above its $84.64 GF Value estimate, suggesting the shares already price in part of the operating improvement.
Wells Fargo Lifts 2026 Loan Growth Outlook Above Mid-Single Digits
Wells Fargo expects 2026 loan growth to exceed its previous mid-single-digit percentage forecast, chief financial officer Mike Santomassimo said at the Barclays 24th Annual Global Financial Services Conference, citing resilient consumer activity and stronger-than-expected loan growth now that the Federal Reserve's asset cap has been removed. Average loans rose roughly 12% year over year in the second quarter, driven by credit cards, auto lending and commercial loans, and Santomassimo said the U.S. consumer remains healthy with no meaningful deterioration in delinquency trends. The bank expects third-quarter investment banking fees to rise at a mid-single-digit percentage rate, with markets and trading revenues projected to increase at a similar pace, while management maintained its 2026 net interest income outlook of $50 billion and expense guidance of $55.7 billion. Santomassimo also said the third-quarter net interest margin is performing better than previously anticipated, and the bank reiterated its medium-term target of a 17-18% return on tangible common equity after surpassing its prior 15% goal. At the same conference, PNC Financial said it expects net interest income to rise more than 15% in 2026 with its net interest margin finishing above 3%, and Citigroup chief financial officer Gonzalo Luchetti said the bank now expects 2026 ROTCE to exceed 11%, up from its prior 10-11% range.
Wells Fargo Consensus Estimates Hold Steady Ahead of Quarterly Report
Wells Fargo is expected to post earnings of $1.84 per share for the current quarter, a year-over-year change of +6.4%, with the Zacks Consensus Estimate edging up +0.1% over the last 30 days. For the current fiscal year, the consensus earnings estimate of $7.25 points to a change of +15.5% from the prior year, while the next fiscal year's estimate of $7.94 indicates a change of +9.5%. Revenue is forecast at $22.22 billion for the current quarter, up +3.6% year over year, with full-year estimates of $88.61 billion and $93.06 billion for the current and next fiscal years. In its last reported quarter, Wells Fargo posted revenues of $22.62 billion, up +8.6% year over year, and EPS of $1.96 versus $1.54 a year earlier, beating the consensus revenue estimate of $21.8 billion by +3.76% and the EPS estimate by +13.29%. The stock carries a Zacks Rank #3 (Hold) and a Value Style Score of D, and over the past month its shares returned +2.7% against a -2.4% change for the Zacks S&P 500 composite.
JPMorgan Sees Third-Quarter Bank Fees Up Mid to High Teens
JPMorgan co-president Doug Petno forecast that the firm's investment banking and trading fees for the third quarter will rise in the mid to high teens compared with a year earlier, sending JPMorgan stock more than 1% higher on Tuesday. Petno, who runs JPMorgan's commercial and investment bank, said clients are seeing through market volatility and the fog of uncertainty, speaking at a Barclays financial services conference in New York. The outlook places JPMorgan at the bullish end for quarterly Wall Street fees, as rivals offered more cautious views after an unusually strong first half. Morgan Stanley co-president Daniel Simkowitz said at the same conference that the third quarter is no second quarter, while Wells Fargo CFO Mike Santomassimo said investment banking fees and markets revenue should each rise roughly mid-single digits year over year. Citigroup CFO Gonzalo Luchetti said dealmaking fees are on pace for mid-single-digit growth and trading fees for low-single-digit growth, and Bank of America CEO Brian Moynihan said investment banking fees are on pace to reach $1.6 billion to $1.8 billion, down 10% to 20% from the $2 billion earned in last year's third quarter, with sales and trading flat. Petno also warned that the late-stage economy just feels too good, though he said large secular forces might make this cycle slightly different.
Wells Fargo Cuts S&P 500 Target to 7,700, Downgrades Tech
Wells Fargo cut its year-end S&P 500 target to 7,700 from 7,950, warning that investors are entering the late stages of the market's growth cycle as political risks and pressure on technology stocks complicate the outlook. The revised target implies only about 1% upside from the index's recent 7,619.98 close, even though the S&P 500 has gained 11.3% this year and roughly 85.7% of S&P 500 companies reporting second-quarter results beat Wall Street earnings estimates. The bank is not turning outright bearish on profits, raising its S&P 500 earnings-per-share forecast to $425 for 2027 and $460 for 2028, but it cautioned that the 2028 figure could prove too optimistic if major technology companies pull back on massive AI infrastructure spending. Wells Fargo downgraded U.S. technology stocks to equal weight from overweight following Monday's AI-led selloff and rising political pushback against large data-center developments ahead of the midterm elections, while upgrading healthcare to overweight from equal weight as a more defensive late-cycle opportunity.
Goldman, BofA, JPMorgan among banks vying to manage Anthropic employees' IPO wealth
Goldman Sachs, Bank of America, Bank of New York Mellon, JPMorgan Chase, and Wells Fargo are in talks with Anthropic over managing the wealth its employees are expected to gain after the AI company's initial public offering, people familiar with the matter told Bloomberg News. The banks are competing to send Anthropic employees a list of financial advisers, and Anthropic has requested details about fees, services, and other aspects of wealth management, according to some of the sources, who asked not to be identified because the communications are private. The company's IPO is expected to create vast wealth for its employees, Bloomberg reported on Friday.
Merrill Lynch Adds UBS Team With $1.2 Billion in New Mexico
Bank of America's Merrill Lynch wealth management team has recruited advisors John Vazquez and Manuel Monasterio in Santa Fe, New Mexico, along with $1.2 billion in client assets. The duo, plus four support staff, left UBS, where Vazquez had worked since 1999 and Monasterio since 2008, according to BrokerCheck. The team was producing about $4.7 million in revenue and will be based in Merrill's Desert Mountain Market under Market Executive Elaine Darnell. The move adds to the advisors overseeing a combined $1.8 billion that Merrill said earlier this week had joined from Morgan Stanley, Truist and Wells Fargo. Merrill has reportedly seen the largest net advisor losses among firms this year through Aug. 13 at 552, according to Wolfe Research, while UBS ranks sixth with net advisor losses of 190 after changing its compensation structure in 2025.
August US CPI expected to rise 0.4% month-on-month, core up 0.2%
For the August consumer price index to be released by the US Labor Department on the 11th, the median market forecast is a 0.4% month-on-month rise, accelerating from the previous month's 0.1% increase. The core index, which excludes volatile food and energy, is expected to rise 0.2% month-on-month, roughly flat from the previous month. Bank of America forecasts a 0.37% rise in the headline figure and a 0.22% rise in the core, expressing the view that surging gasoline prices will push up energy prices. Wells Fargo forecasts a 0.4% rise in the headline figure and a 0.2% rise in the core, pointing to higher gasoline prices from renewed tensions in the Middle East and a rebound in food prices. The forecasts were compiled by Reuters as of the 10th from 70 companies, with the headline figure expected to rise 3.4% year-on-year and the core up 2.4%.
Institutional Crypto Buildout Advances as CLARITY Act Stalls
The CLARITY Act faces a cloture vote on September 15 requiring 60 votes, but with Republicans holding 53 seats and only two Democrats crossing the aisle, Polymarket bettors have priced its 2026 passage at 16%, down from 82% earlier this year, while Galaxy Digital puts the odds at 10%. Meanwhile, the institutional crypto buildout is proceeding under agency rulemaking, with three distinct charter models landing within eight weeks: Circle secured an OCC national trust bank charter on July 10, Revolut received a conditional national bank charter for a distribution-first model on September 2, and OpenReserve gained preliminary approval for a full-service national bank charter backed by a $25 million seed from a16z crypto. A 21-bank consortium including Bank of America, Citi, Goldman Sachs, and Deutsche Bank targets an H1 2027 launch for a USD-pegged stablecoin, and Wells Fargo plans tokenized deposits for corporate clients this fall. This activity continues despite all seven primary federal regulators missing the July 18 deadline for finalizing GENIUS Act rules, with zero final rules issued and eleven proposed rules circulating, including a Treasury NPRM setting a $100,000-per-day civil penalty for violations. Institutions are betting on proposed rules aligning with final versions, as OpenReserve commits $210 million in paid-in capital and Revolut accepts $95 million in capital requirements with a 10% Tier 1 leverage ratio, all ahead of the January 2027 enforcement date.
21 Financial Institutions Join Forces to Launch New Stablecoin
Twenty-one global financial institutions, including Bank of America, Citi, Goldman Sachs, UBS, Deutsche Bank, Wells Fargo, and Fidelity, have announced a joint venture to issue their own stablecoin, starting with a U.S. dollar-pegged version. The launch is targeted for the first half of 2027, with plans to expand to the euro next. This stablecoin will be used for payments, cross-border remittances, and settlement of digital asset transactions on public blockchains, and is designed to comply with the U.S. GENIUS Act and Europe's MiCA regulations. Meanwhile, the stablecoin market has a total value of approximately $304 billion, with USDT holding about 60% market share and USDC about 24%, together accounting for over 80% of the market. In Singapore, the central bank MAS has proposed amendments to stablecoin regulations, requiring 100% reserve backing, segregated accounts, and prohibiting the payment of yield to holders. As for Bitcoin, last August it rallied from around $60,000 to briefly break above $80,000, gaining about 25% for the month. However, Nansen remains unconvinced that the bull market has returned, noting that it is still necessary to watch whether the price can hold above $77,400–$77,650 and break through $80,000, along with continued ETF inflows.
Goldman Warns Large US Banks Face Rising G-SIB Buffers
Goldman Sachs warns that the largest U.S. banks are likely to moderate capital deployment as regulatory buffers rise for a third consecutive year and excess capital levels shrink. Analyst Richard Ramsden wrote in a note Wednesday that lenders will pull back given that excess capital has fallen, G-SIB scores have increased year-to-date after rising in both 2024 and 2025, and final details on regulatory capital reform are still pending. Five of the seven global systemically important banks—JPMorgan, Wells Fargo, Bank of America, Citigroup, Morgan Stanley, BNY, and State Street—have moved up one or more G-SIB buckets this year, with none of the top five expected to mitigate scores enough to drop a bucket by year-end. Second-quarter G-SIB scores rose 23 basis points quarter over quarter, with the largest increases at JPMorgan, Citigroup, and Wells Fargo; JPMorgan is up two buckets year to date and now sits in the 7.0% bucket. The top seven banks hold an estimated $78 billion of excess capital, but Goldman says that falls to $55 billion in 2027 and $20 billion in 2028 as prior G-SIB increases take effect with a two-year lag, and could swing to a $21 billion deficit by 2029 when factoring in higher buffers. With bank price-to-tangible-book values at 2.1 times, Goldman sees buybacks as less attractive than balance sheet expansion, assuming a 15% increase in total capital return in 2026.
Tokenized Finance Infrastructure Converges as Securitize Lists on NYSE
Capital markets are converging on a single investable thesis for tokenized finance, driven by the integration of issuer, settlement, and liquidity layers. On July 2, 2026, Securitize Corp. listed on the NYSE via a SPAC merger, tokenizing its own stock on Avalanche and Solana, marking a milestone in onchain equities. The settlement layer is advancing with the DTCC targeting an October 2026 commercial launch for its tokenization service, covering U.S. Treasuries and Russell 1000 stocks, while NYLIM's tokenized US High Yield Bond Fund uses RedStone Settle for T+0 exits in about 300 milliseconds. In June 2026, a consortium including JPMorgan Chase, Bank of America, Citigroup, and Wells Fargo announced a shared tokenized deposit network via The Clearing House, targeting a first-half 2027 launch to counter the roughly $263 billion in stablecoins. The January 18, 2027, GENIUS Act compliance deadline, with Treasury's August 2026 Notice of Proposed Rulemaking, is accelerating this convergence, though liquidity remains the binding constraint as forecasts for onchain RWA value range from $4 trillion to $30 trillion by the early 2030s.
Realty Income Amends Term Loans Up to $1.85 Billion
Realty Income has amended its term loan agreements with Wells Fargo and Toronto Dominion, aligning key terms with its recently closed credit agreement and providing up to $1.85 billion in borrowing capacity. The revised agreements include a $500 million term loan due August 20, 2027, with Wells Fargo, and a multi-currency facility with TD allowing up to $1.35 billion in borrowings maturing January 18, 2028. These amendments are part of Realty Income's strategy to fund its large acquisition pipeline, including $9.5 billion in 2026 investment guidance and expansion into Europe and private capital. The company, a US-based retail REIT with a market cap of about $58.6 billion, aims to manage refinancing risk and interest costs through these staggered maturities. Investors should monitor how much of the total capacity is drawn and at what pricing, as well as any changes to interest coverage, given that interest payments are not well covered by earnings.
Major Banks Form Consortium to Issue Stablecoins on Public Blockchains
A consortium of more than 12 major global banks, including Bank of America, Wells Fargo, Santander, Barclays, BNP Paribas, Citi, Deutsche Bank, Goldman Sachs, MUFG, TD Bank, and UBS, is moving to compete directly with the $308 billion stablecoin market by issuing their own assets on public blockchains. This marks a departure from their previous strategy of lobbying against stablecoins. The decision to use public blockchains signals an intent to capture liquidity from the crypto-native ecosystem rather than retreating to private ledgers. The regulatory architecture enabling this pivot is the GENIUS Act, enacted on July 18, 2025, which provides a federal framework for bank stablecoin issuance through OCC-approved subsidiaries. While the OCC's 376-page Notice of Proposed Rulemaking from February 2026 is still pending finalization ahead of the January 18, 2027 effective date, the path is clear. JPMorgan has opted out, choosing instead to focus on its proprietary JPM Coin and Kinexys deposit token infrastructure. The consortium plans to start with USD-backed 1:1 assets before expanding into EUR and other G7 currencies, aiming to build a network effect mirroring the reach of USDT and USDC.
Wells Fargo's return on tangible common equity reached 17.7% in the second quarter of 2026, up from 15.2% a year earlier and 14.5% in the first quarter, bringing the bank within its 17% to 18% target range. The improvement follows the Federal Reserve's removal of its asset cap in June 2025 and the closure of the final outstanding consent order in early 2026, allowing the bank to expand deposits, loans, and securities holdings. Wells Fargo has also generated roughly $15 billion of gross expense savings from 2021 through 2025, while its branch count declined 1.3% year over year to 4,079 and headcount fell 7.2% to nearly 197,500 in the second quarter of 2026. The bank sold its rail lease portfolio to a joint venture of GATX Corporation and Brookfield Infrastructure Partners in January 2026 as part of a strategic exit from non-core businesses. Shares of Wells Fargo have gained 4% in the past year, and the Zacks Consensus Estimate for 2026 and 2027 earnings implies year-over-year rallies of 15.5% and 9.5%, respectively.
Bessent confirms plan to proceed with bond auctions as scheduled
US Treasury Secretary Scott Bessent confirmed that the Treasury will proceed with bond auctions as originally planned, avoiding any additional signals about changes to debt management strategy, following reports that it may draw funds from the Treasury General Account, or TGA, to buy back older bonds with high yields. Bessent told reporters that the Treasury has not bought a single bond and that no changes will be made before the next quarterly debt management announcement in early November. Earlier, CNBC reported, citing senior Treasury sources, that the department may use funds from the TGA, which had a balance of 935 billion dollars as of August 20, to buy back bonds instead of issuing additional short-term Treasury bills. Last week, the Treasury announced an expansion of its buyback program for 10- to 20-year and 20- to 30-year bonds from 2 billion dollars to 4 billion dollars per operation between September 9 and November 4, after the 30-year bond yield surged to 5.34 percent, its highest level in nearly 20 years. Analysts at Morgan Stanley estimate that the Treasury may have surplus cash of around 80 billion to 200 billion dollars available to increase bond buybacks, while Goldman Sachs, Wells Fargo, and other financial institutions view the measure as likely to ease pressure on yields only modestly, with new macroeconomic factors needed to help push bond yields lower.
Wells Fargo and Citigroup could buy a big regional bank
Wells Fargo and Citigroup have room under the national deposits cap to acquire a large regional bank, and five lenders fit the bill. The nation's third- and fourth-largest banks are the only megabanks not barred from such a deal, since JPMorgan Chase and Bank of America already exceed the 10% national deposit threshold. Analysts and bankers say the regulatory window is the most open since the financial crisis, and Wells Fargo CEO Charlie Scharf has signaled openness to a transformative deal, while Citigroup CEO Jane Fraser has emphasized organic growth. The five potential targets are Fifth Third, Huntington, Citizens, KeyCorp, and Regions, with Zions a specific fit for Wells Fargo and First Horizon for Citigroup. However, North America bank merger value fell by more than half to $30.1 billion in the first six months of 2026 compared to the year-earlier period, according to EY data, as rising profits and share prices make sellers reluctant.
US Housing Affordability Worsens for First Time Since 2023
A key measure of US housing affordability worsened for the first time in almost three years, as higher borrowing costs soaked up a bigger chunk of earnings for new homebuyers. Monthly payments on a median-priced $410,700 home accounted for 34% of a typical family's income in the second quarter of this year, according to data published Thursday by the National Association of Home Builders and Wells Fargo. That's up from 32% in the first quarter, and it reverses part of the most recent improvement recorded since early 2025. Thirty-year mortgage rates climbed steeply in the period, as the US war with Iran drove borrowing costs higher across the economy, and they're now close to a one-year high at around 6.8%. A 2% increase in median new-home prices during the quarter added to the squeeze, the builders association said. The NAHB data is based on a median family income of about $107,000; households earning half of that amount had to spend 67% of their earnings to cover the same new home's mortgage costs.
Wells Fargo cuts 2026 gold target to $4,900-$5,100
Wells Fargo Investment Institute lowered its 2026 gold price target to $4,900 to $5,100 an ounce from the previous range of $5,300 to $5,500, marking the third revision this year. Its 2027 target also dropped to $5,400 to $5,600 from $5,800 to $6,000, with both ranges coming down by $400 at each end. The bank had raised its 2026 target to $6,100 to $6,300 in February, when gold was trading near $4,961, but the Federal Reserve turned hawkish, the dollar strengthened, and Treasury yields stayed elevated. Spot gold was trading around $4,397 an ounce on Aug. 18, and the new 2026 range implies 11% to 16% upside from that level, while the 2027 target implies 23% to 27% upside. Wells Fargo still expects gold to go higher, but the timeline and ceiling have been pushed out.
Wells Fargo has lifted its inflation forecasts for 2026 and 2027 and now expects the Federal Reserve to raise rates by a quarter point before the year is out. The bank's investment institute previously expected the Fed to remain on hold this year and in 2027, according to Reuters. Costlier energy, new tariffs, and supply chains that still do not run smoothly are behind the change. The bank's own June targets had inflation ending this year at 3.4%, easing again in 2027, while expecting the Fed funds rate to remain at 3.50% to 3.75%. Wells Fargo economists now see the path going flat after cheaper energy brings most of the relief next year, with everyday services staying in demand and huge spending on artificial intelligence pushing up what companies pay for workers, materials, and building work.
Citigroup reported second-quarter revenues of $24.79 billion, up 14.3% year over year and 4.5% above analyst expectations, making it the best performer among seven diversified banks tracked. Wells Fargo posted revenues of $22.7 billion, up 8.6% and beating estimates by 3.9%, while U.S. Bancorp reported $7.76 billion, up 9.9% and exceeding estimates by 2.1%. PNC Financial Services Group delivered $6.68 billion, up 17.5% and surpassing estimates by 3.8%, and Truist Financial recorded $5.31 billion, up 5.1% and beating estimates by 1.5%. As a group, the seven banks beat consensus revenue estimates by 4.6%, and their shares are up 3% on average since reporting.
Wells Fargo Declares Dividends on Six Preferred Stock Series
Wells Fargo & Company announced dividends on six series of preferred stock. A quarterly cash dividend of $18.75 per share was declared on its 7.50% noncumulative perpetual convertible class A preferred stock, Series L, with a liquidation preference of $1,000 per share. Dividends were also declared on five other series: $351.56 per share on Series Y, $296.88 on Series Z, $293.75 on Series AA, $273.44 on Series CC, and $265.63 on Series DD, each with a $25,000 liquidation preference and corresponding depositary share payments. All dividends are payable on September 15, 2026, to holders of record as of August 31, 2026.
Wells Fargo shares have gained 20.5% over the past three months, outpacing the industry's 16.1% growth. The Federal Reserve lifted the asset cap imposed in 2018 following the fake account scandal, allowing the bank to expand deposits, loans, and securities holdings. Average loans increased 10.8% year over year to $1.01 trillion, while average deposits rose 7.9% to $1.44 trillion in the first half of 2026. Management expects 2026 net interest income of approximately $50 billion, up from $47.5 billion in 2025, and a medium-term return on tangible common equity target of 17-18%. Wells Fargo raised its quarterly dividend by 11% in July 2026 to 50 cents per share and had approximately $22.7 billion remaining for common stock repurchases as of June 30, 2026.
Wells Fargo Q2 Earnings Beat on NII and Fee Income Growth
Wells Fargo reported second-quarter 2026 adjusted earnings per share of $1.96, surpassing the Zacks Consensus Estimate of $1.73 and up from $1.54 a year earlier. Total revenues rose 8.6% to $22.62 billion, driven by a 5.2% increase in net interest income to $12.32 billion and a 13.1% jump in non-interest income to $10.31 billion. The provision for credit losses fell 9.1% to $914 million, while average loans and deposits grew sequentially by 3.1% and 3.6% respectively. For 2026, the company expects net interest income of approximately $50 billion and non-interest expenses of around $55.7 billion. Shares have added about 1.6% since the report, underperforming the S&P 500.
AMD launches debt offering to raise up to $5 billion
Advanced Micro Devices launched a four-part debt offering that could raise between $4 billion and $5 billion, according to terms reviewed by Reuters. The senior unsecured notes are due in 2029, 2031, 2033 and 2036, with initial price discussions set at about 70 basis points over U.S. Treasuries for the 3-year notes, 90 basis points for the 5-year tranche, 100 basis points for the 7-year notes and 115 basis points for the 10-year debt. AMD said it intends to use the proceeds for general corporate purposes, which may include repaying debt. Bank of America, JPMorgan, Barclays and Wells Fargo are leading the debt sale, with the bonds expected to settle on August 17.
Bank stocks are rallying as investors rotate out of high-flying artificial intelligence names and into financials. The KBW Bank Index has gained 18% this year, beating the S&P 500's 13% advance, and is on track to outperform the broader market for a third straight year, its longest streak since 2003. Analysts including Wells Fargo's Mike Mayo and Fundstrat's Mark Newton see further upside, citing banks' role in funding the AI buildout, a steepening Treasury curve, and strong second-quarter earnings. The index trades at 12.8 times earnings, below its long-term average, though its price-to-tangible-book ratio of 2.4 is the highest since early 2008. Investors added $3.4 billion to the State Street Financial Select Sector ETF in July, the most since 2024.
Wells Fargo Launches Tokenized Deposits for Corporate Clients
Wells Fargo & Company has launched tokenized deposits for corporate and commercial clients, enabling around-the-clock, blockchain-based settlement within the insured banking system. The move was announced alongside a series of callable, unsecured senior notes across maturities from 2029 to 2051 and new perpetual, non-cumulative depositary shares. The tokenized deposit initiative is seen as reinforcing the bank's technology and digital investment narrative, potentially supporting fee-based services. Wells Fargo's narrative projects $94.8 billion revenue and $24.0 billion earnings by 2029, requiring 5.3% yearly revenue growth and a $3.3 billion earnings increase from $20.7 billion today.
Owlet Inc Reports Record Q2 Revenue of $33.9 Million and Strategic AI Expansion
Owlet Inc reported record second-quarter total revenue of $33.9 million, up 29.9% year-over-year, with gross margin expanding to 54% excluding a tariff refund. Adjusted EBITDA excluding the tariff refund reached a record $2.9 million, while subscription revenue grew to a record $3.2 million with 130,000 paying subscribers and 36% DreamSock penetration in the US. International revenue surged 214% year-over-year, marking the highest international revenue quarter in company history, and the company secured a new $25 million credit facility with Wells Fargo that significantly reduces its interest rate margin by at least 525 basis points. However, Prime Day units sold fell 8% year-over-year due to aggressive competitor discounting, and third-quarter revenue is expected to decline sequentially and versus the prior year amid challenging comparisons and cautious consumer spending signals. The company also highlighted its AI parenting Copilot feature, which 85% of parents engage with daily, and plans to expand telehealth tiers within its Owlet 360 subscription service.
Wells Fargo unveils tokenized deposits for 24/7 corporate settlement
Wells Fargo announced on August 4 a blockchain-based tokenized deposits program that lets corporate and commercial clients settle funds 24/7/365 within the insured banking system, starting with a dollar-to-pound exchange this fall and expanding through 2027. The move follows a quarter in which diluted EPS rose 25% to $2.00, total revenue reached $22.6 billion, and investment banking fees topped $900 million. CEO Charlie Scharf cautioned that strong environments do not last forever, while CFO Mike Santomassimo noted noninterest-bearing deposits are now expected to stay roughly flat, a negative for the net interest income outlook. Venture capital gains added $847 million to noninterest income, and credit card vintages from 2025 and 2026 are still absorbing upfront costs. Shares traded at a forward P/E of 38.61 as of August 11, with hedge fund ownership rising to 82 funds and short interest at 1.68% of the float.
Argus Upgrades Sandisk to Buy After Strong Q4 Results
Argus upgraded Sandisk stock to buy from hold, citing a $500 drop in the share price since initiating coverage and strong financial results. Sandisk reported better-than-expected fourth-quarter 2026 revenue of $8.97 billion and adjusted earnings per share of $39.25, surpassing analyst estimates of $8.4 billion and $34.51. Following the earnings, Wells Fargo cut its price target to $1,400 from $1,620, while RBC Capital raised its target to $1,300 from $1,000. Shares rose 3.3% as of 12:22 p.m. ET, retreating from an earlier gain of 5.4%.
The Clearing House Plans Shared Tokenized Deposit Network for 2027
The Clearing House announced a consortium of 25 major financial institutions, including JPMorgan, Bank of America, Citigroup, and Wells Fargo, will launch a shared tokenized deposit network in the first half of 2027. The network aims to protect up to $6.6 trillion in deposits from the $263 billion stablecoin market by enabling round-the-clock movement of tokenized deposits between member banks. It will integrate with existing CHIPS and RTP rails, with CHIPS having settled an average of $2 trillion per day in 2025. The initiative comes as the GENIUS Act, effective January 18, 2027, prohibits stablecoin interest, pushing banks to offer a compliant, interest-bearing alternative. CEO David Watson described tokenized deposits as an evolution of commercial bank money, though past consortium failures like we.trade and Marco Polo highlight the challenge of aligning competing institutions.
Wells Fargo to Launch Tokenized Deposit Platform in Fall 2026
Wells Fargo announced a proprietary tokenized deposit platform set to launch in Fall 2026 for select corporate and commercial clients, initially enabling around-the-clock USD-GBP cross-border payments. The platform introduces programmable payments via smart contracts, allowing corporate treasurers to set conditions like delivery-versus-payment triggers, and routes funds through tokenized deposits that carry the same FDIC insurance and regulatory protections as existing deposits. Simultaneously, Wells Fargo is co-building a shared interbank network through The Clearing House with JPMorgan, Bank of America, Citi, and 11 other banks, targeting the first half of 2027, to address the current lack of interbank settlement for tokenized deposits on private blockchains. The dual-track strategy hedges against the risk of deposit disintermediation from stablecoins, which a Treasury TBAC report estimated could put $6.6 trillion in deposits at risk, while tokenized deposits retain structural advantages under the GENIUS Act, including FDIC insurance and the ability to pay interest. CFO Mike Santomassimo stated the move enables clients to move money with greater ease and speed, building on the bank's established infrastructure.
Wells Fargo Stock May Be 25% Undervalued on Tokenized Deposits Launch
Wells Fargo stock may be undervalued by about 25 percent based on an Excess Returns model, with an intrinsic value estimate of roughly 118 dollars and 5 cents per share compared to a recent price around 88 dollars. The model uses a book value of 54 dollars and 43 cents per share and a stable earnings estimate of 8 dollars and 25 cents per share, based on forecasts from 17 analysts. The planned launch of blockchain-based tokenized deposits for corporate clients is a concrete growth effort, though execution risk may explain why the market has not priced the stock closer to the model's estimate. On a price-to-earnings basis, Wells Fargo trades at 12.4 times, slightly above the industry average of 12.2 times but below a fair P/E estimate of 15.1 times, consistent with the undervaluation signal. Broader checks show the stock screens as undervalued in four of six measures, presenting a mixed but positive setup.
ULA plans $500 million private bond sale to refinance debt
United Launch Alliance plans to raise approximately $500 million through a private bond placement to refinance existing debt. The rocket joint venture, owned by Boeing and Lockheed Martin, provides launch services for the US military and commercial customers including Amazon. US Bancorp, Mizuho Financial Group, and Wells Fargo are reportedly arranging the transaction. The bonds will be structured as a true private placement, sold directly to institutional investors rather than registered in public markets.
Wells Fargo CEO Says AI Will Cut Tens of Thousands More Jobs
Wells Fargo CEO Charlie Scharf said on CNBC that AI-driven automation will eliminate tens of thousands of additional positions at the bank, separate from the 79,000 headcount reduction already achieved since he took over. The bank posted second-quarter diluted earnings per share of $2.00, up 25% year over year, while headcount fell 7% to 197,000 employees. Scharf warned that AI productivity gains will hit corporate earnings quickly, but worker retraining and new job creation will lag, creating a timing mismatch that poses a macro risk. Despite the job cuts, he pointed to internal data showing credit card spend up 10%, debit card spend up 7%, and delinquencies falling, with about 70% of the spending increase coming from mass-market customers, indicating the American consumer remains strong.
Wells Fargo and Diversified Banks Stocks Report Strong Q2 Earnings
The seven diversified banks stocks tracked by this publication reported a strong second quarter, with revenues beating analysts' consensus estimates by 4.6%. Wells Fargo posted revenues of $22.7 billion, up 8.6% year on year and exceeding expectations by 3.9%, while Citigroup delivered the best performance with revenues of $24.79 billion, a 14.3% increase that beat estimates by 4.5%. U.S. Bancorp was the weakest, with revenues of $7.76 billion up 9.9% but a miss on tangible book value per share. Bank of America reported revenues of $31.78 billion, up 15% and beating estimates by 3.3%, and Truist Financial had the slowest revenue growth at 5.1% to $5.31 billion. Despite the strong results, the group's share prices have collectively declined 1.2% on average since the latest earnings.
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