WFC Valuation

Wells Fargo & Co

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82.180

+0.2(0.244%)1D

Overview
Forecast
Valuation
Earnings

WFC Relative Valuation

WFC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, WFC is overvalued; if below, it's undervalued.

Historical Valuation

Wells Fargo & Co (WFC) is now in the Overvalued zone, suggesting that its current forward PE ratio of 13.40 is considered Overvalued compared with the five-year average of 10.91. The fair price of Wells Fargo & Co (WFC) is between 56.70 to 77.56 according to relative valuation methord. Compared to the current price of 82.18 USD , Wells Fargo & Co is Overvalued By 5.96%.

Relative Value

Fair Zone

56.70-77.56

Current Price：82.18

5.96%

Overvalued

13.40

Trailing

Forward

0.00

EV/EBITDA

Wells Fargo & Co. (WFC) has a current EV/EBITDA of 0.00. The 5-year average EV/EBITDA is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward EV/EBITDA of 0.00 falls within the Strongly Undervalued range.

NaN

EV/EBIT

Wells Fargo & Co. (WFC) has a current EV/EBIT of NaN. The 5-year average EV/EBIT is NaN. The thresholds are as follows: Strongly Undervalued below NaN, Undervalued between NaN and NaN, Fairly Valued between NaN and NaN, Overvalued between NaN and NaN, and Strongly Overvalued above NaN. The current Forward EV/EBIT of NaN falls within the range.

3.09

Wells Fargo & Co. (WFC) has a current PS of 3.09. The 5-year average PS is 2.33. The thresholds are as follows: Strongly Undervalued below 1.46, Undervalued between 1.46 and 1.89, Fairly Valued between 2.77 and 1.89, Overvalued between 2.77 and 3.20, and Strongly Overvalued above 3.20. The current Forward PS of 3.09 falls within the Overvalued range.

0.00

P/OCF

Wells Fargo & Co. (WFC) has a current P/OCF of 0.00. The 5-year average P/OCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/OCF of 0.00 falls within the Strongly Undervalued range.

0.00

P/FCF

Wells Fargo & Co. (WFC) has a current P/FCF of 0.00. The 5-year average P/FCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/FCF of 0.00 falls within the Strongly Undervalued range.

Wells Fargo & Co (WFC) has a current Price-to-Book (P/B) ratio of 1.61. Compared to its 3-year average P/B ratio of 1.20 , the current P/B ratio is approximately 34.35% higher. Relative to its 5-year average P/B ratio of 1.12, the current P/B ratio is about 43.26% higher. Wells Fargo & Co (WFC) has a Forward Free Cash Flow (FCF) yield of approximately -3.47%. Compared to its 3-year average FCF yield of 11.65%, the current FCF yield is approximately -129.81% lower. Relative to its 5-year average FCF yield of 6.32% , the current FCF yield is about -154.99% lower.

1.61

P/B

Median3y

1.20

Median5y

1.12

-3.47

FCF Yield

Median3y

11.65

Median5y

6.32

Competitors Valuation Multiple

The average P/S ratio for WFC's competitors is 2.82, providing a benchmark for relative valuation. Wells Fargo & Co Corp (WFC) exhibits a P/S ratio of 3.09, which is 9.57% above the industry average. Given its robust revenue growth of -0.91%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Toronto-Dominion Bank

Performance Decomposition

Market capitalization of WFC increased by 46.32% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 10.55 to 14.11.

The secondary factor is the Margin Expansion, contributed 13.53%to the performance.

Overall, the performance of WFC in the past 1 year is driven by P/E Change. Which is more unsustainable.

-0.91%

20.31B → 20.13B

Revenue Growth

13.53%

24.17 → 27.44

Margin Expansion

33.70%

10.55 → 14.11

P/E Change

46.32%