Jim Cramer on Wells Fargo: “When You Drill Down, the Business Is Doing Pretty Well”

“What astir today’s reports from the different 3 bigs? Okay, Wells Fargo, which we ain for the Charitable Trust, reported a apical and bottom-line miss. While income were up 4.5% year-over-year, and net grew by 13%, they inactive came successful light, arsenic did nett involvement income. It was disappointing. That said, a large chunk of that net shortfall came from higher severance expense… Wells Fargo, by the way, laid disconnected a batch of radical to chopped costs. When you drill down, the concern is doing beauteous well, conscionable not rather arsenic good arsenic Wall Street, and I were hoping… Efficiency ratio, a cardinal measurement of cost, fell from 68% to 64%. Lower, by the way, is amended erstwhile it comes to that measure… But the analysts spoiled by CEO Charlie Scharf’s relentless cost-cutting were looking for 62.5%. Just not bully enough.

Photo by Erol Ahmed connected Unsplash

Wells Fargo & Company (NYSE:WFC) provides fiscal services, including banking, lending, investment, and wealthiness absorption solutions.