Finance

Wells Fargo WFC earnings Q1 2025

Published

1 month ago

April 11, 2025

Business Finance News

A Wells Fargo Bank branch is seen in New York City on March 17, 2020.

Jeenah Moon | Reuters

Wells Fargo shares rose Friday after the bank reported an increase in quarterly earnings on the back of stable income from investment banking and wealth management.

Here’s what the bank reported for the first quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:

Adjusted earnings per share: $1.39, 16% higher year over year but not quite comparable to the estimate of $1.24 due to a number of special items during the quarter
Revenue: $20.15 billion versus $20.75 billion expected

Shares of Wells Fargo climbed nearly 2% in pre-market trading after the results.

Net interest income, a key measure of what a bank makes on loans, fell 6% year over year to $11.50 billion. Non-interest income, which includes investment banking fees, brokerage commissions and advisory fees, rose 1% to $8.65 billion from last year’s $8.54 billion.

CEO Charlie Scharf highlighted the uncertainty in the economy brought on by the Trump administration’s actions to reorient global trade, calling for a timely resolution.

“We support the administration’s willingness to look at barriers to fair trade for the United States, though there are certainly risks associated with such significant actions,” Scharf said in a statement. “Timely resolution which benefits the U.S. would be good for businesses, consumers, and the markets. We expect continued volatility and uncertainty and are prepared for a slower economic environment in 2025, but the actual outcome will be dependent on the results and timing of the policy changes.”

Wells Fargo bought back 44.5 million of its own shares, worth $3.5 billion, in first quarter.

The San Francisco-based lender set aside $932 million as provision for credit losses, which included a decrease in the allowance for credit losses.

Finance

NVDA, BA, COIN, FSLR and more

Published

2 hours ago

May 13, 2025

Business Finance News

Finance

Coinbase jumps 22% after S&P 500 inclusion

Published

3 hours ago

May 13, 2025

Business Finance News

Brian Armstrong, chief executive officer of Coinbase Global Inc., speaks during the Messari Mainnet summit in New York, on Thursday, Sept. 21, 2023.

Michael Nagle | Bloomberg | Getty Images

Coinbase shares soared more than 20% on Tuesday and headed for their sharpest rally since the day after President Donald Trump’s election victory following the crypto exchange’s inclusion in the S&P 500.

S&P Global said in a release late Monday that Coinbase is replacing Discover Financial Services, which is in the process of being acquired by Capital One Financial. The change will take effect before trading on Monday.

Stocks added to the S&P 500 often rise in value because funds that track the benchmark will add it to their portfolios. For Coinbase, it’s the latest sharp move in what’s been a volatile few months since Trump was elected to return to the White House.

Coinbase shares rocketed 31% on Nov. 6, the day after the election, on optimism that the incoming administration would adopt more crypto-friendly policies following a challenging and litigious four years during President Joe Biden’s term in office.

The company and CEO Brian Armstrong were key financial supporters in the 2024 campaign, backing pro-crypto candidates up and down the ticket. Coinbase was one of the top corporate donors, giving more than $75 million to a PAC called Fairshake and its affiliates. Armstrong personally contributed more than $1.3 million to a mix of candidates.

While the start of the Trump term has been mostly favorable to the crypto industry, through deregulation and an executive order to establish a strategic bitcoin reserve, legislation has thus far stalled. That’s due in part to concerns surrounding Trump’s personal efforts to profit from crypto through a meme coin and other family initiatives.

Coinbase has been on a roller coaster as well, plummeting 26% in February and 20% in March as Trump’s tariff announcements roiled markets and pushed investors out of risk. With Tuesday’s rally, the stock is now up about 2% for the year.

Since going public through a direct listing in 2021, Coinbase has become a bigger part of the U.S. financial system, with bitcoin soaring in value and large institutions gaining regulatory approval to create spot bitcoin exchange-traded funds.

Bitcoin spiked last week, topping $100,000 and nearing its record price reached in January. The crypto currency surpassed $104,000 on Tuesday.

To join the S&P 500, a company must have reported a profit in its latest quarter and have cumulative profit over the four most recent quarters.

Coinbase last week reported net income of $65.6 million, or 24 cents a share, down from $1.18 billion, or $4.40 a share a year earlier, after accounting for the fair value of its crypto investments. Revenue rose 24% to $2.03 billion from $1.64 billion a year ago.

The company last week also announced plans to buy Dubai-based Deribit, a major crypto derivatives exchange for $2.9 billion. The deal, which is the largest in the crypto industry to date, will help Coinbase broaden its footprint outside the U.S.

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