# Wells Fargo Beats Earnings Estimates but Misses Revenue Target as Trading Slows

- URL: https://stocks.freetheai.org/news/wells-fargo-beats-earnings-estimates-but-misses-revenue-target-as-trading-slows-000e6a
- Published: 2026-10-13T13:27:48Z
- Category: earnings; sentiment: mixed; impact: medium
- Symbols: [NYSE:WFC](https://stocks.freetheai.org/symbols/NYSE-WFC)
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Wells Fargo & Company (WFC) reported third-quarter earnings per share of $1.87, topping analyst projections of $1.85 and rising 13% from $1.66 a year earlier. However, total revenue grew 2% year over year to $21.870 billion, falling short of expectations for $22.317 billion. Following the report, bank shares declined 2.52% to $81.22 in premarket trading.

A steep drop in trading gains pulled overall revenue down. Net trading gains plunged 21% year over year as client trading activity slowed significantly in the final weeks of September. Higher advisory fees, a 5% gain in net interest income to $12.517 billion, and an 8% reduction in headcount helped keep profits strong, pushing net income up 6% to $5.951 billion. However, provisions for credit losses increased to $1.029 billion from $681 million in the prior-year period.

Investors will look at how trading activity fares in the final quarter and whether loan demand stays resilient amid higher interest rates and persistent inflation. Management reaffirmed its full-year 2026 projections, targeting about $50 billion in net interest income and $55.7 billion in noninterest expenses, while projecting fourth-quarter net interest income of approximately $13 billion.

## Key points

- Wells Fargo reported third-quarter earnings of $1.87 per share, beating expectations of $1.85 per share.
- Revenue rose 2% year over year to $21.870 billion but missed consensus estimates of $22.317 billion.
- Net gains from trading fell 21% after client activity slowed sharply in late September.
- The bank reaffirmed its full-year 2026 net interest income guidance of approximately $50 billion.

## Questions and answers

### Why did Wells Fargo stock drop after its Q3 earnings report?

Shares fell because third-quarter revenue of $21.870 billion missed expectations, driven by a 21% decline in trading gains and slower trading activity in late September.

### Did Wells Fargo beat third-quarter earnings expectations?

Yes, Wells Fargo delivered earnings of $1.87 per share, surpassing the estimated $1.85 per share and up 13% from $1.66 per share in the year-ago period.

### What is Wells Fargo's financial outlook for full-year 2026?

Wells Fargo reaffirmed its guidance for 2026, projecting full-year net interest income of about $50 billion and noninterest expenses of around $55.7 billion.