Wells Fargo & Company (NYSE:WFC) is one of the undervalued large cap stocks to buy. On April 1, HSBC analyst Saul Martinez upgraded Wells Fargo & Company (NYSE:WFC) from Hold to Buy, and lowered the price target to $94 from $104. The move was driven purely by valuation, considering that Wells Fargo had fallen about 17% year-to-date, making it the worst-performing stock among all banks and brokers in HSBC’s coverage, noted Martinez.
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The analyst added that the stock’s decline pushed its valuation to levels he described as an “attractive entry point.” Also, Martinez views Wells Fargo as a “long-term winner in U.S. banking,” citing its national scale, its strong capital base, and the fact that the asset cap, the regulatory restriction that had long constrained its balance sheet growth, has now been lifted.
However, the analyst acknowledged that those big regulatory catalysts are now behind the stock rather than ahead of it. He added that the bank’s January 2026 net interest income guidance disappointed markets, but argued that guidance could prove conservative. In other words, actual results may beat expectations.
Independent of the analyst action, on March 26, Wells Fargo said its artificial-intelligence-powered virtual assistant, Fargo, had passed 1 billion customer interactions. The tool hit this milestone in less than three years since launch, the lender said, and added that it had surpassed 33 million mobile active users the previous month.
Wells Fargo framed the update as part of its broader digital transformation, saying the figures show more customers are using its mobile banking tools for everyday financial tasks. The bank said Fargo has become a regular part of the mobile app experience since its 2023 debut. During this time, it has helped customers do routine jobs such as sending money with Zelle, paying bills, finding routing numbers, and checking spending patterns and account balances.
Wells Fargo & Company (NYSE:WFC) is a financial services company. It provides banking, lending, investment, and wealth management services to individuals, businesses, and institutions.
While we acknowledge the risk and potential of WFC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than WFC and that has 10,000% upside potential, check out our report about this cheapest AI stock.
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