According to data compiled by S&P Global Market Intelligence, Wells Fargo (WFC -0.91%) stock was up by more than 8% week to date as of Thursday night. That was hardly a surprise, as the company delivered quarterly results that beat analyst estimates and pleased investors.
A satisfying third quarter
On Tuesday, Wells Fargo -- one of the so-called big four U.S. banks -- took the wraps off its third quarter. For the period, total revenue came in at over $21.4 billion, representing an improvement of 5% over the same quarter of 2024.
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The company's generally accepted accounting principles (GAAP) net income saw a healthier rise, growing by 9% year over year to almost $5.6 billion. On a per-share basis, that profitability stood at $1.66.
As for traditional banking metrics, average loans crept up by 2% to just under $929 billion. Average deposits, however, declined marginally to almost $1.34 trillion.
The two headline numbers comfortably exceeded the consensus analyst estimates. Prognosticators tracking Wells Fargo stock were collectively anticipating slightly more than $21.1 for total revenue and $1.55 per share for profitability.
Multiple revenue streams
In its earnings release, Wells Fargo attributed its improvements mainly to a rise in fee-based income from both commercial and consumer operations. The bank also benefited from higher vehicle loan originations and an increase in total client assets for its wealth and investment management business.
