BofA raised the firm’s price target on Wells Fargo (WFC) to $100 from $92 and keeps a Buy rating on the shares. Management not only raised its medium-term ROTCE target to 17%-18% from 15%, but the firm also thought messaging during the earnings call “suggested a sense of urgency on achieving this goal,” says the analyst, whose forecast implies ROTCE rising to 17% by 2028, which would be up nearly 250 basis points from FY25. A higher pace of share buybacks, lower credit costs and stronger pre-provision net revenue growth drive the firm’s Q4, FY26 and FY27 EPS estimates higher by 7.8% on average, the analyst noted.
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