Wells Fargo & Company
WFC · NYSE
Next quarter
Expected to report Jan 13, 2027 — estimated from last year’s reporting date.
Consensus is $1.88 EPS for Dec 2026 across 8 estimates, ranging $1.82 to $1.92.
WFC Sep 2026
- 1.08%
- $1.85
- $1.87
- —
- —
Reported results
- $5.95B
- $1.87
Highlights
- EPS and earnings: Diluted EPS was $1.87, 2 cents above the $1.85 consensus; net income was $5.95 billion, down 7% sequentially but up 6% year over year.
- Revenue and expenses: Revenue of $21.87 billion fell 3% from Q2 and rose 2% year over year; noninterest expense was $13.74 billion, up 1% sequentially, lifting the efficiency ratio to 63% from 60%.
- Net interest income: NII increased 2% sequentially to $12.52 billion and 5% year over year, while taxable-equivalent NIM held at 2.43% quarter over quarter and declined from 2.60% a year earlier.
- Loan and deposit growth: Period-end loans reached $1.048 trillion, up 2% sequentially and 11% year over year; deposits were $1.503 trillion, essentially flat sequentially and 10% higher year over year.
- Credit costs: Provision for credit losses rose to $1.03 billion from $914 million in Q2 and $681 million a year earlier; commercial net charge-offs increased to $281 million from $156 million sequentially.
- Consumer banking: Segment net income rose 20% sequentially to $2.76 billion, with revenue up 4% to $10.66 billion; credit card 30-plus-day delinquencies increased to 2.69% from 2.58% in Q2.
- Markets and fee businesses: Corporate and Investment Banking revenue fell 8% sequentially to $5.01 billion, while Wealth and Investment Management revenue grew 5% to $4.10 billion, supported by higher advisory fees.
- Capital and dividend: Standardized CET1 was 10.0%, down from 10.3% in Q2; the declared common dividend increased to $0.50 per share from $0.45.
Analysis
Wells Fargo reported Q3 2026 diluted EPS of $1.87, modestly ahead of the $1.85 consensus, on net income of $5.95 billion. Earnings were down from $6.41 billion and $2.00 per share in Q2, but above the year-ago $5.59 billion and $1.66 per share. The sequential decline came with revenue falling 3% to $21.87 billion and provision expense rising 13% to $1.03 billion; lower taxes partly offset those pressures. Year over year, revenue grew 2% and net income 6%.
The print combined continued balance-sheet growth with a more subdued margin and revenue mix. NII rose 2% sequentially to $12.52 billion as average loans increased 1%, but NIM remained 2.43%, 17 basis points below a year earlier, and average deposit cost climbed to 1.56% from 1.51% in Q2. Noninterest income fell 9% sequentially, with lower trading and equity-security gains following a Q2 that included $847 million of equity-security gains. Consumer Banking was a bright spot, while CIB revenue and income retreated from Q2; credit costs rose, particularly in commercial lending. The efficiency ratio widened to 63% from 60%, and standardized CET1 declined to 10.0% from 10.3%.
Earnings and revenue
Revenue was $21.87 billion, down $752 million from Q2 but $434 million above the year-ago quarter. The sequential move was concentrated in noninterest income, which fell $952 million to $9.35 billion; NII added $200 million to $12.52 billion. Q2 included $847 million of equity-security gains, compared with $4 million in Q3, and trading gains declined from $1.39 billion to $1.11 billion. Advisory and other asset-based fees rose 8% sequentially to $3.05 billion. Noninterest expense increased $82 million to $13.74 billion, leaving PTPP at $8.13 billion, down 9% sequentially but up 7% year over year.
Net interest and balances
NII increased 2% from Q2 and 5% year over year. Average loans grew to $1.033 trillion, up 1% sequentially and 11% year over year; period-end loans were $1.048 trillion, up $17.0 billion from June. Average deposits increased 1% sequentially to $1.483 trillion, and period-end deposits were $1.503 trillion, little changed from Q2. NIM was unchanged sequentially at 2.43%, but down from 2.60% a year earlier. The average deposit cost rose 5 basis points sequentially to 1.56%, continuing to pressure the spread even as lending balances expanded.
Segment performance
- Consumer Banking and Lending: Net income increased 20% sequentially to $2.76 billion on revenue growth of 4% to $10.66 billion; expenses declined 2% and the efficiency ratio improved to 58% from 61%.
- Commercial Banking: Net income was $1.20 billion, up 2% sequentially. Revenue rose 4% to $3.24 billion, while provision expense increased to $240 million from $131 million. Period-end loans grew 3% sequentially to $247.0 billion.
- Corporate and Investment Banking: Revenue declined 8% sequentially to $5.01 billion and net income fell 17% to $1.92 billion. Trading revenue decreased 20% to $1.05 billion; investment banking fees were $908 million, down 4%.
- Wealth and Investment Management: Revenue rose 5% sequentially to $4.10 billion and net income increased 12% to $603 million. Advisory and other asset-based fees rose 8% to $2.71 billion; client assets reached $2.45 trillion, up 2% from Q2.
Credit quality
The consolidated provision was $1.03 billion, compared with $914 million in Q2 and $681 million a year earlier. Commercial Banking provision increased to $240 million, while its net charge-offs rose to $131 million from $93 million; commercial real estate charge-offs were $107 million versus $16 million in Q2. Consumer Banking provision eased to $791 million from $945 million. Credit card net charge-offs declined to $554 million from $600 million, but the 30-plus-day delinquency rate rose to 2.69% from 2.58%; auto delinquencies also increased, to 1.39% from 1.31%.
Capital and returns
The preliminary standardized CET1 ratio was 10.0%, down 30 basis points sequentially and 60 basis points year over year; the advanced-approach CET1 ratio was 11.8%, also down 30 basis points from Q2. The liquidity coverage ratio rose to 122% from 119%. Wells Fargo declared a $0.50 common dividend, up from $0.45 in each of the prior four quarters. Period-end common shares outstanding declined to 3.002 billion from 3.029 billion in Q2 and 3.149 billion a year earlier.
