Wells Fargo & Co. shares are extending Fridayâs declines in Monday pre-market trading, as analyst downgrades pile on after the bankÂ lowered its net interest income forecast.
Firms cutting their rating on Wells Fargo stock to neutral includeÂ Goldman,Â BofAMLÂ andÂ Buckingham. Shares are falling about 1.6 percent after closing down 2.6 percent on Friday, at the lowest since December 31.
Wells Fargo is âlikely to remain âdead moneyâ and lag peers until thereâs greater clarity around revenue inflecting,â Buckinghamâs James Mitchell wrote in a note.
BofAMLâs downgrade to neutral comes as Wells Fargoâs ârevenue base keeps eroding,â analyst Erika Najarian wrote in a note. Itâs also âpredicated on a lack of upside catalysts until a new CEO is announced.â
Other banks had gained on Friday after JPMorgan Chase & Co.âsÂ first-quarter results beat and it maintained its outlook forÂ net interest income, or NII. JPMorgan shares were up less than one percent in pre-market trading. Shares of Goldman Sachs Group Inc. and Citigroup Inc., which areÂ due to report Monday morning, were rising in pre-market trading, while Bank of America Corp., which reports Tuesday, was gaining as well.
Wells Fargo & Co. shares were trading at $46.63 per share on Monday afternoon, up $0.14 (+0.30%). Year-to-date, Wells Fargo & Company (WFC - Get Rating) has gained 2.11%, versus a 16.30% rise in the benchmark S&P 500 index during the same period.
This article is brought to you courtesy of Bloomberg.