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Wells Fargo & Co (NYSE:WFC)
Net Margin
25.83% (As of Dec. 2015)

Net margin is calculated as net income divided by its revenue. Wells Fargo & Co's net income for the three months ended in Dec. 2015 was $5,575 Mil. Wells Fargo & Co's revenue for the three months ended in Dec. 2015 was $21,586 Mil. Therefore, Wells Fargo & Co's net margin for the quarter that ended in Dec. 2015 was 25.83%.

WFC' s Net Margin Range Over the Past 10 Years
Min: 6.34   Max: 27.34
Current: 25.93

6.34
27.34
WFC's Net Margin is ranked higher than
60% of the 1674 Companies
in the Global Banks - Global industry.

( Industry Median: 22.66 vs. WFC: 25.93 )

Definition

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

Wells Fargo & Co's Net Margin for the fiscal year that ended in Dec. 2015 is calculated as

Net Margin=Net Income (A: Dec. 2015 )/Revenue (A: Dec. 2015 )
=22894/86057
=26.60 %

Wells Fargo & Co's Net Margin for the quarter that ended in Dec. 2015 is calculated as

Net Margin=Net Income (Q: Dec. 2015 )/Revenue (Q: Dec. 2015 )
=5575/21586
=25.83 %

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company’s profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


Related Terms

Net Income, Revenue, Cost of Goods Sold, Selling, General, & Admin. Expense, Research & Development, Depreciation, Depletion and Amortization, Interest Expense, Non-Recurring Items, Tax Expense


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Wells Fargo & Co Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
netmargin 23.5920.456.3413.8414.5119.6021.9526.1127.3426.60

Wells Fargo & Co Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
netmargin 27.1528.5727.1827.0126.6227.2826.8326.5025.8324.61
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