On Wednesday, Wilsey Asset Management disclosed in an SEC filing that it sold 54,561 shares of Wells Fargo (WFC 0.20%), an estimated $4.4 million trade.
What Happened
According to a filing with the Securities and Exchange Commission released on Wednesday, Wilsey Asset Management sold 54,561 shares of Wells Fargo (WFC 0.20%) during the quarter. The estimated transaction value was approximately $4.4 million. Following the transaction, the fund reported holding 552,771 shares, with a quarter-end market value of $46.3 million.
What Else to Know
This sale reduced the Wells Fargo stake from 9.3% to 8.5% of Wilsey Asset Management’s 13F reportable assets as of September 30.
Top holdings after the filing:
- MSFT: $57.66 million (10.6% of AUM)
- WFC: $46.33 million (8.5% of AUM)
- JPM: $43.94 million (8.1% of AUM)
- GM: $38.70 million (7.1% of AUM)
- SWK: $37.84 million (6.9% of AUM)
As of Thursday afternoon, Wells Fargo shares were priced at $79.86, up 39% over the year and well outperforming the S&P 500 by 23 percentage points during the same period.
Company Overview
| Metric | Value |
|---|---|
| Price (as of Thursday afternoon) | $79.86 |
| Market capitalization | $255 billion |
| Revenue (TTM) | $122.3 billion |
| Net income (TTM) | $20.6 billion |
Company Snapshot
- Wells Fargo offers a broad suite of financial products and services, including consumer and commercial banking, lending, investment management, and mortgage solutions.
- The bank serves a wide customer base ranging from individual consumers and small businesses to large corporations and institutional clients in the United States and internationally.
- It operates through four main segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth and Investment Management.
Wells Fargo is a leading diversified financial services provider with significant scale across consumer, commercial, and investment banking. Its multi-segment strategy supports its competitive position in the U.S. banking sector.
Foolish Take
Wilsey Asset Management’s decision to trim its Wells Fargo position by 54,561 shares in an estimated $4.4 million sale likely reflects profit-taking after a strong run for the banking giant. Wells Fargo shares have surged 39% over the past year, handily outperforming the S&P 500’s 16% gain, as investors reward the bank’s improved efficiency and steady capital returns.
In the most recent quarter, Wells Fargo reported revenue of $20.8 billion, up about 1% year over year, and net income of $5.5 billion, or $1.60 per share—outperforming analyst estimates. Average deposits slipped 1%, but the bank’s return on equity improved to 12.8%, and its CET1 ratio ticked up to 11.1% from 11%. In a statement, CEO Charlie Scharf called the lifting of the Fed’s asset cap “a pivotal milestone,” adding that Wells Fargo is now “a far stronger company… able to move forward more aggressively to serve consumers, businesses, and communities.”
With third-quarter earnings due Tuesday, investors will look for signs that the bank’s momentum—particularly in fee income and credit quality—can continue as rates stabilize and expenses rise.
Glossary
13F reportable AUM: Assets under management that must be disclosed in quarterly SEC Form 13F filings by institutional investment managers.
AUM (Assets under management): The total market value of all investments managed by a fund or asset manager.
Quarter-end: The last day of a fiscal quarter, used for reporting financial and portfolio data.
Outperforming: Achieving a higher return than a specific benchmark or index over a set period.
Filing date: The official date a regulatory or financial document is submitted to authorities, such as the SEC.
Position (in portfolio context): The amount of a particular security or asset held by an investor or fund.
Stake: The ownership interest or share held in a company by an investor or fund.
TTM: The 12-month period ending with the most recent quarterly report.
Market value (of holdings): The current total worth of an investment position based on the latest market price.
Holding (portfolio holding): A specific security or asset owned within an investment portfolio.
