5 Best Jim Cramer Stocks To Buy Today

3. Wells Fargo & Company (NYSE:WFC) 

Number of Hedge Fund Holders: 94 

Wells Fargo & Company (NYSE:WFC) is an American financial services company that deals in banking, investment, and mortgage services to its consumers. The company ranks third on our list of the best Jim Cramer stocks to buy today. 

In September, Deutsche Bank lifted its price target on Wells Fargo & Company (NYSE:WFC) to $55, while keeping a ‘Buy’ rating on the shares. In Q2 2021, the company reported total average deposits of $1.44 trillion, versus the estimates of $1.41 trillion. Wells Fargo & Company (NYSE:WFC) posted an EPS of $1.38, beating the estimates by $0.40. Jim Cramer named the firm as one of its best stock picks and he expects it to reach $50 per share soon, as it has been delivering improvements for quite some time now. Since the beginning of the year, Wells Fargo & Company (NYSE:WFC) delivered a 61.6% return to shareholders, while its 12-month returns came in at 86.9%. 

As of Q2 2021, 94 hedge funds tracked by Insider Monkey have positions in Wells Fargo & Company (NYSE:WFC), compared with 96 in the previous quarter. The total value of these stakes is over $7 billion. 

L1 Capital recently published its Q2 2021 investor letter and mentioned Wells Fargo & Company (NYSE:WFC) in it. Here is what the firm has to say: 

“Wells Fargo (Long +16%) was the strongest contributor to portfolio performance over the quarter. Wells Fargo shares rallied given a better outlook for bad debts driven by improving employment and house price trends. The company had been very undervalued due to excessive fears around likely bad debts due to the pandemic, the continued regulatory “asset cap” (a punishment that was put in place in 2017 for numerous compliance failures) and an inability to commence buybacks. The share price has subsequently recovered strongly in recent months as the company has progressed its turnaround program under the leadership of the well-regarded CEO, Charles Scharf (former CEO of Visa and BNY Mellon). Wells Fargo is now closer to getting the asset cap lifted and has announced a huge cost out program (US$8b+) as well as an $18b buyback program to be completed over the next 12 months. Wells Fargo shares have rallied more than 50% since we initiated the position in late 2020. Given the strong rally, we elected to exit our position and rotate into stocks with larger valuation upside.”