Customers use banking machines at a Wells Fargo branch in Los Angeles, October 3, 2008. REUTERS/Mario Anzuoni
NEW YORK (
Last week, the San Francisco-based company said it expects to post a record first-quarter profit of $3 billion, up about 50 percent from a year earlier, citing a better-than-expected performance from Wachovia and a solid performance in mortgage lending.
Fox-Pitt Kelton analyst Andrew Marquardt said Wells Fargo will continue "to manage through this credit cycle better than most," Barron's reported.
On Thursday, Wells Fargo shares closed at $19.61 on the New York Stock Exchange. Marquardt has a target of $38, Barron's said.
Some question whether Wells may need to further boost its loan-loss reserves, which could eat into future profits, Barron's said. But compared with its rivals, these concerns may simply prove to be short-term issues, Barron's said.
(Reporting by Ilaina Jonas; Editing by Leslie Adler)Related Links
Share Investor Blog - Stockmarket & Business commentary
Share Investor New Zealand Business News- Get more business news
Discuss this topic @ Shareinvestor.net.nz
Share Investor's Daily Forex Updates
Recommended Amazon Reading
The Four Filters Invention of Warren Buffett and Charlie Munger by Bud Labitan
Buy new: $29.65 / Used from: $26.48
Usually ships in 24 hours
Kindle 2: Amazon's New Wireless Reading Device (Latest Generation)