Wells Fargo shares rise 3% after beating estimates.
By The Exchange Team
Wells Fargo has historically low loan delinquencies, but it's building up reserves as the economy slows, lowering third-quarter profits.
Wells Fargo stock rose more than 3% after the bank's earnings beat forecasts.
Here’s how the bank did compared with Refinitiv estimates: 1). Earnings per share: $1.30 adjusted vs. $1.09 expected 2). Revenue: $19.51 billion vs. $18.78 billion expected
Net income plummeted more than 30% year on year to $3.53 billion, or 85 cents per share, from $5.12 billion, or $1.17 per share, in the third quarter ended Sept. 30.
Wells earned $1.30 per share after adjustments, exceeding analysts' expectations.
The corporation reported $2B in operating losses, or 45 cents per share, due to litigation, consumer remediation, and regulatory issues.
Wells is operating under consent orders connected to its 2016 fake accounts scandal, including one from the Fed that curbs its asset growth.