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Wells Fargo (NYSE:WFC) 3-Year RORE %

: 67.88% (As of Sep. 2022)
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Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Wells Fargo's 3-Year RORE % for the quarter that ended in Sep. 2022 was 67.88%.

The industry rank for Wells Fargo's 3-Year RORE % or its related term are showing as below:

WFC's 3-Year RORE % is ranked better than
92.29% of 1400 companies
in the Banks industry
Industry Median: 15.50 vs WFC: 67.88

Wells Fargo 3-Year RORE % Historical Data

The historical data trend for Wells Fargo's 3-Year RORE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Wells Fargo Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
3-Year RORE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.78 -1.10 -102.07 16.70 -

Wells Fargo Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22
3-Year RORE % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 16.70 36.33 71.71 67.88 -

Competitive Comparison

For the Banks - Diversified subindustry, Wells Fargo's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Wells Fargo 3-Year RORE % Distribution

For the Banks industry and Financial Services sector, Wells Fargo's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where Wells Fargo's 3-Year RORE % falls in comparison to its industry or sector. The grey bar indicates the 3-Year RORE %'s extreme value range as defined by GuruFocus.



Wells Fargo 3-Year RORE % Calculation

Wells Fargo's 3-Year RORE % for the quarter that ended in Sep. 2022 is calculated as:

3-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 3-year -Cumulative Dividends per Share for 3-year )
=( 3.14-0.34 )/( 8.43-2.92 )
=2.8/5.51
=50.82 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Sep. 2022 and 3-year before.


Wells Fargo  (NYSE:WFC) 3-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Wells Fargo 3-Year RORE % Related Terms

Thank you for viewing the detailed overview of Wells Fargo's 3-Year RORE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Wells Fargo (NYSE:WFC) Business Description

Wells Fargo logo
Address
420 Montgomery Street, San Francisco, CA, USA, 94104
Wells Fargo is one of the largest banks in the United States, with approximately $1.9 trillion in balance sheet assets. The company is split into four primary segments: consumer banking, commercial banking, corporate and investment banking, and wealth and investment management. It is almost entirely focused on the U.S.
Executives
Davis Richard K director 800 NICOLLET MALL MINNEAPOLIS MN 55402
Norwood Felicia F director 120 MONUMENT CIRCLE INDIANAPOLIS IN 46204
Morken Cecelia director 26025 MUREAU ROAD CALABASAS CA 91302
Ling Bei officer: Sr. Executive Vice President 30 HUDSON YARDS NEW YORK NY 10001
Hranicky Kyle G officer: Sr. Executive Vice President 1000 LOUISIANA STREET HOUSTON TX 77002
Santos Kleber officer: Sr. Executive Vice President 1680 CAPITAL ONE DRIVE MCLEAN VA 22102
Williams Ather Iii officer: Sr. Executive Vice President 30 HUDSON YARDS NEW YORK NY 10001
Santomassimo Michael P. officer: Sr. EVP & CFO 225 LIBERTY STREET NEW YORK NY 10286
Chancy Mark A director 303 PEACHTREE ST. 30TH FLOOR ATLANTA GA 30308
Owens Lester officer: Sr. Executive Vice President 240 GREENWICH STREET NEW YORK NY 10286
Sommers Barry officer: Sr. Executive Vice President 30 HUDSON YARDS NEW YORK NY 10001
Weinbach Michael S officer: Sr. Executive Vice President 30 HUDSON YARDS NEW YORK NY 10001
Black Steven D director C/O JPMORGAN CHASE & CO. 270 PARK AVENUE NEW YORK NY 10017
Carr Muneera S officer: EVP, CAO & Controller 1717 MAIN STREET MAIL CODE 6500 DALLAS TX 75201
Patterson Ellen R officer: Sr. EVP and General Counsel 30 HUDSON YARDS NEW YORK NY 10001

Wells Fargo (NYSE:WFC) Headlines

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