Here's What Key Metrics Tell Us About Wells Fargo (WFC) Q1 Earnings

For the quarter ended March 2025, Wells Fargo (WFC) reported revenue of $20.15 billion, down 3.4% over the same period last year. EPS came in at $1.27, compared to $1.26 in the year-ago quarter.The reported revenue represents a surprise of -3.12% over the Zacks Consensus Estimate of $20.8 billion. With the consensus EPS estimate being $1.23, the EPS surprise was +3.25%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.Here is how Wells Fargo performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Return on assets (ROA) - Financial Ratios: 1% compared to the 0.9% average estimate based on seven analysts. Net loan charge-offs as a % of average total loans (annualized): 0.5% compared to the 0.5% average estimate based on seven analysts. Net interest margin on a taxable-equivalent basis: 2.7% compared to the 2.7% average estimate based on seven analysts. Average Balance - Total interest-earning assets: $1,752.32 billion versus $1,763.56 billion estimated by six analysts on average. Efficiency Ratio: 69% compared to the 67.8% average estimate based on six analysts. Return on equity (ROE) - Financial Ratios: 11.5% versus the six-analyst average estimate of 10.1%. Book value per common share: $49.86 versus $49.56 estimated by six analysts on average. Allowance for loan losses as a percentage of total loans: 1.5% versus 1.6% estimated by five analysts on average. Total nonperforming assets: $8.23 billion versus the five-analyst average estimate of $8.07 billion. Net loan charge-offs: $1.01 billion versus $1.22 billion estimated by five analysts on average. Tier 1 Leverage Ratio: 8.1% versus 8.2% estimated by four analysts on average. Total nonaccrual loans: $7.98 billion compared to the $7.90 billion average estimate based on four analysts. View all Key Company Metrics for Wells Fargo here>>>Shares of Wells Fargo have returned -7.8% over the past month versus the Zacks S&P 500 composite's -6.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Wells Fargo & Company (WFC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks