Jim Cramer’s Bold Predictions About These 10 Financial Stocks

5. Wells Fargo & Company (NYSE:WFC)

Number of Hedge Fund Holders In Q3 2024: 72

Date of Cramer’s Comments: 9-18-24

Performance Since Then: 31%

Wells Fargo & Company (NYSE:WFC) is one of the biggest consumer banks in America. Like other banks, it thrives when the demand for loan products is high and it can keep costs low through manageable interest rates. Additionally, due to its scale, Wells Fargo & Company (NYSE:WFC) also depends on a relaxed regulatory environment that does not raise costs in the form of higher buffer requirements and stress testing. The bank also depends on low interest rates, as has been evident through its net interest income this year. For the first nine months of 2024, Wells Fargo & Company (NYSE:WFC)’s net interest income dropped by 9.6% on the back of a 45% jump in interest expense. Since Cramer’s remarks, the stock first jumped by 5.6% in October after Q3 $1.52 EPS beat analyst estimates of $1.28. It added another 13% in November after the election. Here is what Cramer said:

“Well, Wells Fargo is a winner, though. Okay, let me tell you, I hear you and I feel exactly what you’re feeling, but I am a believer in Charlie Scharf. He happens to be a head coach who knows exactly what to do with two minutes and one minute left. He would never be fooled by what you saw on the field that Monday night. I think Wells comes through this fine; it’s up 10%, and I think it’s going to go higher. It can go back to 61-62. Let’s hold on to it. Thank you for being a member of the club!”