3 Stocks Worth Looking Into From The Financial Sector: Wells Fargo & Company (WFC) and More

Wells Fargo & Company (NYSE:WFC)

Wells Fargo has also been making headlines. Wells Fargo is one of the largest banks in the world and is set for long-term growth for patient investors. Still one of the biggest banks in the world, Wells Fargo is just behind JPMorgan in terms of Market Capital.

The company’s recent earnings report showed a record quarterly profit of $5.1 billion, which shows an increase of 24% compared to 2011’s last quarter. Also, the total profit for the year showed an increase of 19% to $18.9 billion, compared to the year before. Meanwhile, an EPS of $0.91 also managed to beat the $0.89 expectation of analysts.

Wells Fargo is certainly seen as a brilliant long-term investment opportunity, with the firm expecting further growth over the next couple of years. One of Fargo’s strengths is the recovery in the housing sector, with the company being able to lend smartly, compared to its competitors. Unlike others, Wells Fargo is very picky on investments. It still looks at a greater number of smaller investment opportunities before jumping on a sole big opportunity. Still the largest mortgage lender in the U.S, Wells Fargo has been stable since a couple of years, avoiding any financial blunders. Wells Fargo, positioned to take advantage of the housing recovery, is financially well diversified in different divisions of the company, with all areas relatively stable and performing well, including mortgage lending and insurance.

Bottom Line

Even though the financial sector looks relatively stable, there are doubts over some of the biggest banks in the industry. Companies like Citigroup and Bank of America are relatively risky stocks, which have gone through a wild ride recently. However, other investment opportunities in the sector, including JPMorgan and Goldman Sachs are looking to shine in 2013 after exceeding expectations and performing quite well in the previous year. Wells Fargo is another company in the industry looking to show strong growth in upcoming years, and it might just be the ideal long-term investment opportunity for patient investors.

The article 3 Stocks Worth Looking Into From The Financial Sector originally appeared on Fool.com and is written by Yasir Idrees.

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