Wells Fargo Q3 Earnings BEAT Estimates at 1.87EPS—But the Stock Is DOWN? 1.87 EPS

Wells Fargo & Company (NYSE: WFC) just released its Q3 2026 earnings on October 13, 2026, reporting net income of $6.0 billion, or $1.87 per diluted share, which beat analyst estimates of $1.86 per share by 0.8%. However, the stock traded down 0.28% at $83.32, closing at $83.32 on October 12, 2026. Total revenue came in at $21.87 billion, missing the consensus estimate of $22.33 billion by 2.1%. Net interest income reached $12.52 billion, up 4.7% year over year but slightly under the $12.64 billion estimate. Despite the revenue miss, the bank demonstrated strong fundamentals: average loans grew 11% year over year to $1.03 trillion, average deposits increased 11% to $1.48 trillion, and the efficiency ratio improved to 63% from 65% a year ago. Return on average tangible common equity (ROTCE) improved to 16.3% from 15.2% in the year-ago quarter. Chairman and CEO Charlie Scharf commented, "Our third quarter results reflect broad-based growth, higher earnings, and stronger returns". The analyst community remains overwhelmingly bullish on WFC. According to 27 analysts polled by S&P Global, the stock carries a consensus rating of "Buy" with an average 1-year price target of $98.73 — implying 18.49% upside from the current price of $83.32. The rating distribution shows 14 Strong Buy, 5 Buy, 8 Hold, and 0 Sell ratings as of October 2026. Recent analyst actions include Morgan Stanley upgrading WFC to Overweight with a $102 price target and naming it a Top Pick on October 5, 2026, while Barclays maintained a Buy rating with a $108 target on October 6, 2026. TD Cowen initiated coverage with a Buy rating and $95 price target on October 8, 2026, implying 15.8% upside from the October 8 close of $82.03. UBS maintained a Buy rating with a $102 price target, and Goldman Sachs reiterated a Buy rating with a $96 target (lowered from $107) on October 5, 2026. From a valuation perspective, WFC trades at a trailing PE ratio of 12.11 and a forward PE of 11.12, with a PEG ratio of 0.81.