2019 revenue growth a catalyst

A customer exits a Wells Fargo & Co. bank branch in Los Angeles Patrick T. Fallon/Bloomberg via Getty Images

Patrick T. Fallon | Bloomberg | Getty Images

A customer exits a Wells Fargo & Co. bank branch in Los Angeles Patrick T. Fallon/Bloomberg via Getty Images

Citi Research upgraded Wells Fargo shares to a buy rating through neutral on Friday, saying the bank includes a “clear path to improving returns” which has a reasonable valuation.

“We see them returning to positive revenue growth in mid-2019, which can serve as a catalyst to the stock as can help drive home the story that will the issues are moving to rear view mirror,” Citi’s Keith Horowitz said in a note.

Citi believes This specific can be a Great time for investors to buy in to Wells Fargo.

“We think [Wells Fargo] should fare well on the credit side; particularly as the lack of balance sheet growth will be a positive attribute when ‘late cycle’ concerns weigh on some other names,” Horowitz said.

Shares of Wells Fargo closed slightly higher at $53.61 a share. Citi includes a $60 cost target on Wells Fargo stock.

Leave a Reply

Your email address will not be published. Required fields are marked *

*

fourteen + 10 =