Wells Fargo concludes 2022 consent order with regulator

SAN FRANCISCO - Wells Fargo (NYSE:WFC) & Company (NYSE: WFC) announced today that it has successfully closed a consent order issued by the Consumer Financial Protection Bureau (CFPB) in 2022. The order, which pertained to the bank's practices in automobile lending, consumer deposit accounts, and mortgage lending, marks the seventh such agreement resolved by the company's regulators since 2019.

The termination of the consent order signifies a step forward for the financial institution, which has been working to address regulatory concerns and improve its governance and practices. Wells Fargo, a major player in the financial services sector with a market capitalization of $256.3 billion, manages approximately $1.9 trillion in assets and offers a range of services across banking, investment, and mortgage products, as well as consumer and commercial finance. The bank's strong market position is reflected in its impressive 59% return over the past year. For deeper insights into Wells Fargo's financial health and growth prospects, including 13 additional key ProTips, visit InvestingPro.

The company operates through four primary segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth & Investment Management. Wells Fargo's efforts extend beyond financial services, aiming to make a positive impact in the communities it serves by promoting housing affordability, small business growth, financial health, and a low-carbon economy.

This development is part of Wells Fargo's ongoing efforts to rebuild trust and demonstrate compliance with banking regulations. The closure of the consent order could potentially restore confidence among consumers and investors in the bank's commitment to regulatory compliance and ethical business practices.

The information provided in this article is based on a press release statement from Wells Fargo & Company.

In other recent news, Wells Fargo has seen a series of noteworthy developments. The company has welcomed Ed Olebe as the new head of Cards and Merchant Services, a move expected to enhance its payment capabilities and credit card business. Olebe's appointment follows the retirement of Ray Fischer, who had a significant impact on Wells Fargo's credit card and Merchant Services businesses.

In the realm of financial performance, Wells Fargo has been the subject of multiple analyst revisions following strong Q4 results. RBC Capital Markets adjusted its 2025 and 2026 earnings per share (EPS) estimates for the bank, reflecting anticipation of stronger net interest income and robust noninterest income. Keefe, Bruyette & Woods also raised the price target for Wells Fargo shares, citing projected stronger Net Interest Income growth. Truist Securities, following a review of the bank's Q4 performance, increased its price target as well.

Raymond (NSE:RYMD) James maintained a Strong Buy rating on Wells Fargo, raising the stock's price target in response to the bank's robust Q4 financial results. However, despite lower fee income as trading revenue was weaker than anticipated, Citi reiterated its Neutral rating on Wells Fargo shares. These are recent developments that reflect a generally positive outlook for Wells Fargo's financial trajectory over the next years.

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