Wells Fargo Q4 Prov For Credit Losses $1.28B, Up From 957M Y/Y
Portfolio Pulse from Benzinga Newsdesk
Wells Fargo reported a Q4 provision for credit losses of $1.28 billion, an increase from $957 million year-over-year. The rise was attributed to higher allowances for credit card and commercial real estate loans, tempered by a reduced allowance for auto loans. The bank also experienced higher net loan charge-offs in commercial real estate office and credit card loans.
January 12, 2024 | 11:54 am
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
Wells Fargo's Q4 credit loss provisions increased to $1.28 billion, indicating a potential rise in credit risk, particularly in credit card and commercial real estate loans.
The increase in provisions for credit losses suggests that Wells Fargo is anticipating higher loan defaults, particularly in the credit card and commercial real estate sectors. This could be a sign of financial stress in these areas, which may negatively impact investor sentiment towards Wells Fargo's stock in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100