|A Wells Fargo location in Philadelphia |
Wells Fargo (WFC) is the leading mortgage lender in the U.S (22% market share) has launched it 2nd quoter earnings report on this Friday. Both net income and revenue is better than Wall Street expected. Share price leaps almost 2%.
- Profit side: profit up 19%; results beat estimates
- net income is $5.52 billion, compared with a year-earlier income of $4.62 billion,
- that means 98 cents/share versus 82 cents/share in last year;
- Thomson Reuters survey indicated 93 cents profit per share.
- Revenue side: $21.38 billion from $21,3 (a year earlier), analysts estimated $21.22 billion
- Mortgage applications rose from 2013Q1
- Home lending originations amounted to $112 billion, compared with $109 billion in prior quarter. Applications climbed to $146 billion, compared with $140 billion in prior quarter.
In my opinion WFC could be one of the big winner of american home building recovery, so it is worth to think about BUY or BUY more from this financial share!
J.P. Morgan Chase & Co. (JPM) also set out its actual earnings numbers.
- Profit side:
- net income rose to $6.5 billion from $4,9 billion,
- that means $1,6 profit per share versus $1,21 profit in last year Q2;
- analysts polled $1,44 profit per share.
- Revenue side: net revenue rose to $25.21 billion, versus $22.18 billion in previous year, analysts polled $24.97 billion in revenue.
Market is happy with both company's numbers, share prices are increased.