Live by the sword… die by the sword.
The robust subprime-laced auto lending market helped drive strong profits at regional banks, now cracks pose a threat to the banks most involved, according to a deep dive into the industry by analysts at Piper Jaffray.
Analysts led by Kevin Barker came away with three conclusions following their deep dive:
Continue reading “Cracks in Auto Lending Pose Threat to Regional Banks”
It’s always interesting to see how bank analysts feel about other banks – they are usually pretty blunt. Today we have a new bank opinion on Wells Fargo (NYSE: WFC)… and it’s not pretty.
UBS analyst Brennan Hawken launched coverage on Wells Fargo with a ‘Sell’ rating and a price target of $45, or 10% below the current price.
Hawken sees risks to Wells Fargo’s revenue growth and credit performance. The analyst said given the limited upside from rates, they see fee revenues as the greatest component of uncertainty in WFC’s revenue forecasts.
Continue reading “Bank-on-Bank ‘Sell’ Rating for Wells Fargo”