Let's take a look at Wells Fargo & Co. (NYSE:WFC) and try to explain if this is an appealing investment opportunity when shares of the company are trading 10% above its 52-week low. Shares of the firm closed yesterday at $48.72, amassing a year-to-date loss of 9.1%.
Wells Fargo has assets of $1.8 trillion as of Dec. 31, and it is the fourth-largest bank in the U.S. The bank has several businesses such as banking, insurance, investment, mortgage and consumer. Wells Fargo has a dominant position and is the largest deposit institution. As a matter of fact, it can achieve faster growth in its loans based on them. The activity is done in several branches, where the company focuses on small formats. Moreover, the bank is well-positioned after the Fed has hiked the interest rate because the bank has a lower interest rate risk profile. Continue Reading »