12 Best Stocks Under $100 to Buy According to Hedge Funds

8. Wells Fargo & Co. (NYSE:WFC)

Share Price as of April 22: $64.01

Number of Hedge Fund Holders: 96

Wells Fargo & Co. (NYSE:WFC) is a financial services company that provides diversified banking, investment, mortgage, and consumer & commercial finance products and services. It operates through four segments: Consumer Banking & Lending, Commercial Banking, Corporate & Investment Banking, and Wealth & Investment Management.

The company’s revenue in the Consumer Small & Business Banking area fell by 2% year-over-year in 2024. This was due to higher deposit costs, which shows that customers are shifting towards higher-yielding deposit products. However, deposit balances grew year-over-year and marked the first such increase since Q4 2022. WFC’s debit card spending also remained strong and was up 4% year-over-year. The credit card business grew by 2% due to higher loan balances.

On April 8, Evercore ISI analyst John Pancari reiterated his bullish stance on the company and assigned its stock a Buy rating. Wells Fargo & Co.’s (NYSE:WFC) strategic business investments, active capital deployment, and efficiency improvements contribute to its financial performance. The company’s extensive branch network and large customer base provide numerous cross-selling opportunities and a source of low-cost deposits.

Hotchkis & Wiley Large Cap Fundamental Value Fund stated the following regarding Wells Fargo & Company (NYSE:WFC) in its Q4 2024 investor letter:

“Wells Fargo & Company (NYSE:WFC) is one of the nation’s largest depositories and banks by assets. In addition to having a very high market share of deposits, they also enjoy high market share within the geographies they operate in such as western and southeastern US. In our opinion, WFC is one of the best franchises in banking with a history of very high returns on assets and equity. Performance over the quarter was strong due to potential deregulation with the onboarding of a new presidential regime and speculation that the company’s asset cap could be lifted as early as 1H25.”