11 Stocks on Jim Cramer’s Radar Right Now

5. Wells Fargo & Company (NYSE:WFC)

Number of Hedge Fund Holders: 83

Wells Fargo & Company (NYSE:WFC) is a significant global financial services company that provides a wide range of banking, investment, mortgage, and finance products. The company has approximately $1.9 trillion in assets, which points to its significant position within the financial sector.

In the Consumer Banking and Lending segment, the company offers a variety of services including checking and savings accounts, credit cards, and a range of loan options.

The Commercial Banking segment is focused on delivering financial solutions, including banking and credit products across multiple industries. The Corporate and Investment Banking segment plays an important role in offering capital markets and financial services. The company also provides personalized services such as wealth management, brokerage, and private banking through the Wealth and Investment Management segment.

Highlighting the company’s upcoming event, Cramer said:

“We do have an onslaught of financial earnings in the morning. We’ve got Wells Fargo, JPMorgan, and BlackRock. I think the banks represent the least expensive group in the market, which means you need to use any weakness to buy them.”

During the first half of the year, the bank faced some challenges posed by interest rates but they are likely to be short-lived. It stands to benefit significantly when rates decrease, as it is among the most consumer-oriented of the major U.S. banks.

In the second quarter, Wells Fargo (NYSE:WFC) reported a net income of $4.9 billion, or $1.33 per diluted common share. Management highlighted the strong performance of the firm’s fee-based businesses, which were owed to recent market conditions and strategic investments.

Additionally, the company has been focused on returning capital to shareholders. It recently announced a 14% increase in its dividend for the third quarter, alongside substantial share buybacks, totaling $12 billion in the first half of 2024.