Why Wells Fargo, Sarepta, Delphi, UPS, and More Are Making Headlines

The news just keeps getting worse for Wells Fargo & Co (NYSE:WFC) in terms of its sales tactics scandal in which former employees created as many as two million fake accounts to juice numbers. According to Reuters, two former employees have filed a class action lawsuit in the state of California seeking a minimum of $2.6 billion for workers who tried to meet the bank’s sales quotas but failed, in part due to the fact that they weren’t cheating, leading to either their demotion, resignation, or them being laid off as a result. Warren Buffett‘s Berkshire Hathaway owns around 10% of Wells Fargo & Co (NYSE:WFC)’s shares according to recent filings.

Count Barron’s as one of the Sarepta Therapeutics Inc (NASDAQ:SRPT) bulls. In a bullish article, writer Andrew Bary opines that the company’s lead drug, Exondys 51, has the potential to do $400 million in annual sales in the United States and as much as $1 billion worldwide. With biotech stocks being valued at sometimes 5-to-10-times annual revenue, the writer thinks there could be more upside ahead despite the stock’s already-massive rally. In addition, according to some analysts, Sarepta is a potential takeover target now that the FDA has granted accelerated approval for Exondys 51. There is still some risk however, as it’s possible the confirmatory trials (as required by the FDA) will not pan out. In the meantime, Exondys 51 will still be on the market. 20 funds in out system had a long position in Sarepta Therapeutics Inc (NASDAQ:SRPT) at the end of June, up by one quarter-over-quarter.

Traders are talking about United Parcel Service, Inc. (NYSE:UPS) after the delivery/logistics company tested drone deliveries that transported emergency medical supplies in a trial. Given that the U.S. government has recently opened up the skies for commercial drone activity and drones are in many ways superior to trucks in terms of transporting packages, it is important for UPS to do as much research and development as quickly as possible to retain/gain market share. 33 funds that we track owned $1.45 billion in United Parcel Service, Inc. (NYSE:UPS) positions at the end of June, which accounted for just 1.50% of the float on June 30.

Disclosure: None