Shares of Wells Fargo (WFC) saw a significant increase of approximately 6% on Friday morning, following the bank's announcement of Q3 earnings that surpassed expectations. The financial institution disclosed a net income of $5.11 billion for the quarter. This figure was down compared to last year's $5.77 billion, however, it surpassed analysts' expectations by nearly half a billion dollars, according to data gathered by Visible Alpha.
Though Wells Fargo's revenue also experienced a dip on a year-over-year basis settling at $20.37 billion, it was marginally higher than predicted. Net interest income (NII) also experienced a slump and fell more than expected to $11.69 billion.
Other major banks including JPMorgan Chase (JPM), Bank of America (BAC), and Goldman Sachs (GS) are set to release their earnings next week. Market participants are eager to see how these banking institutions intend to adapt following the Federal Reserve's decision to cut interest rates for the first time since 2020.
Wells Fargo's stocks increased nearly 6% to $61.14 Friday morning, marking a nearly 25% return so far this year.