Wells Fargo Valuation
| NWT Stock | 67.25 0.99 1.45% |
At this time, the company appears to be undervalued. Wells Fargo maintains a prevalent Real Value of USD74.37 per share. The last-minute price of the company is USD67.25. Our model calculates the value of Wells Fargo from examining the company fundamentals such as Current Valuation of (45.19 B), return on asset of 0.0067, and Profit Margin of 0.18 % as well as analyzing its technical indicators and probability of bankruptcy.
Undervalued
Today
Please note that Wells Fargo's price fluctuation is very steady at this time. Calculation of the real value of Wells Fargo is based on 3 months time horizon. Increasing Wells Fargo's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Wells Fargo's intrinsic value may or may not be the same as its current market price of 67.25, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 67.25 | Real 74.37 | Hype 67.25 | Naive 64.04 |
The intrinsic value of Wells Fargo's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Wells Fargo's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Wells Fargo helps investors to forecast how Wells stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Wells Fargo more accurately as focusing exclusively on Wells Fargo's fundamentals will not take into account other important factors: Wells Fargo Total Value Analysis
Wells Fargo is now anticipated to have takeover price of (45.19 B) with market capitalization of 165 B, debt of 174.87 B, and cash on hands of . The negative valuation of Wells Fargo may imply that the market is not capable to price the future growth of the company or it is pricing it at zero value. It may also suggest that takeover valuation may not have captured all of the outstanding financial obligations of the company both on and off balance sheet. Investors should thoroughly investigate all of the Wells Fargo fundamentals.| Takeover Price | Market Cap | Debt Obligations | Cash |
(45.19 B) | 165 B | 174.87 B |
Wells Fargo Investor Information
About 75.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.04. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Wells Fargo has Price/Earnings To Growth (PEG) ratio of 0.17. The entity last dividend was issued on the 2nd of February 2023. The firm had 2:1 split on the 14th of August 2006. Based on the analysis of Wells Fargo's profitability, liquidity, and operating efficiency, Wells Fargo is not in a good financial situation at the moment. It has a very high risk of going through financial straits in January.Wells Fargo Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The newest return on assets of Wells implies not a very effective usage of assets in December.Wells Fargo Ownership Allocation
Wells Fargo retains a total of 3.79 Billion outstanding shares. The majority of Wells Fargo outstanding shares are owned by institutional investors. These institutions are usually referred to as non-private investors looking to purchase positions in Wells Fargo to benefit from reduced commissions. Consequently, other corporate entities are subject to a different set of regulations than regular investors in Wells Fargo. Please pay attention to any change in the institutional holdings of Wells Fargo as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company shows, if the real value of the company is less than the current market value, you may not be able to make money on it.Wells Fargo Profitability Analysis
The company reported the revenue of 73.78 B. Net Income was 12.88 B with profit before overhead, payroll, taxes, and interest of 72.25 B.About Wells Fargo Valuation
The stock valuation mechanism determines Wells Fargo's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Wells Fargo based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Wells Fargo. We calculate exposure to Wells Fargo's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Wells Fargo's related companies.8 Steps to conduct Wells Fargo's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Wells Fargo's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Wells Fargo's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Wells Fargo's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Wells Fargo's revenue streams: Identify Wells Fargo's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Wells Fargo's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Wells Fargo's growth potential: Evaluate Wells Fargo's management, business model, and growth potential.
- Determine Wells Fargo's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Wells Fargo's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for Wells Stock Analysis
When running Wells Fargo's price analysis, check to measure Wells Fargo's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Wells Fargo is operating at the current time. Most of Wells Fargo's value examination focuses on studying past and present price action to predict the probability of Wells Fargo's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Wells Fargo's price. Additionally, you may evaluate how the addition of Wells Fargo to your portfolios can decrease your overall portfolio volatility.