Wells Fargo: Short Increase Decreases on Positive Earnings

Wells Fargo (WFC) delivered better than expected third-quarter earnings of $1.64bn on Wednesday, amidst news that customers anxious to move away from struggling rivals had flooded the bank with their deposits.

The data here reflects this news: short interest in WFC has decreased significantly from 9% on August 11, to 1.6% today. This 9% was a two-year high for the bank. Utilisation is at 12.23%, down from 30% in August, and there are 7 Days to Cover.

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Disclosure: None

Comments

[D-D:]

To raise capital, won't WFC issue more stocks and dilute the current investors?
This is the only concern I have. Otherwise, WFC is a good bank.

2008 Oct 16 11:41 AM

[The Realist:]

Are people still quoting and paying attention to bank profits? Why would it matter what WFC reported? Are the same people who believe these numbers the ones that were trading the market up this summer because we were going to have a second half recovery.

The only thing that we can be sure about every bank is that they are confirmed liars. Anyone who believe anything coming out of a bank is a fool, and we all know that a fool and his money will soon part.

2008 Oct 18 06:49 PM