What's Going On With Wells Fargo (WFC) Shares

Wells Fargo & Co WFC shares are trading higher on continued strength after the company reported better-than-expected second-quarter financial results.

What Happened?

Wells Fargo experienced a notable increase in profit, with a surge of 57% amounting to $4.9 billion, largely attributed to heightened interest payments received from its customers. CEO Charlie Scharf acknowledged this positive trend, stating that their robust net interest income continued to benefit from the upward movement of interest rates.

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The bank's net interest income exhibited significant growth, rising by 29% to reach $13.16 billion. This upturn was primarily facilitated by banks raising their borrowing costs in response to a succession of rate hikes implemented by the Federal Reserve, aimed at addressing concerns of inflation.

The consumer and small business banking sector reported earnings of $6.6 billion, reflecting a 19% increase compared to the previous year's $5.5 billion. The elevated interest rates played a prominent role in driving this upward trajectory in earnings...Read More

According to data from Benzinga Pro, WFC has a 52-week high of $48.84 and a 52-week low of $35.25.