Wells Fargo financial analysis

The company’s services include; investment, banking altogether with commercial to client business services. According to the Wells Fargo report, the organization operates over 8,600 branches, 13,000 Automatic Teller Machines, Internet-enabled banking as well as mobile banking services. In 2016, Wells Fargo’s performance was well recognized across the world as one of the top ten most valuable organizations. The firm total shareholders return hit 12. 6 US billion dollars, the common stock plus payment additional share purchases propelled the firm to success. The other top financial operators such as JPMorgan, City Group as well as Bank of America play a significant role in providing employment opportunities. The latest report claimed close to 191 thousand employees are absorbed in JPMorgan Chase Bank, 169 altogether with 142 thousand work for the Bank of America.

Schiemann (45-87), argues out, workers are arguably the pillars as well as drivers of an organization to achieve the objectives altogether with goals leading to a mission and also vision. Financial analysis Investors use financial ratios to evaluate the company’s performance as compared to other firms in the industry. Some ratios are usually specific while in other industries very ubiquitous in revealing the financial stability of the firm (Hon, 139-154). , (231-268) claim, non-performing loans are considered as default which means the borrowers have failed to make payments of loans for roughly over 90 days. Some of the financial institutions fail to recover some loans. The financial institution’s ratio of nonperforming loans as compared to the total loans was negatively affected by the drop in mortgage prices in the housing sector market.

The ratio rose to 5. 6 in 2010 and all banks were affected. According to the 2018 financial report released in April, the firm had 257 US billion dollars market cap. The firm’s 2018 return on assets ratio and equity was 1. 26 and 12. 37 percent respectively (Wells Fargo). JPMorgan JPMorgan Chase bank dominance across the world has been linked to mergers and also acquisitions of several financial institutions such as Bank of Chicago, Bank One and the Stearns. The firm’s formation is arguably one of the largest acquisition in the world. Firms such as Citicorp and Travelers groups were merged and the firm emerged as the largest financial service provider. However, the 2008 economic meltdown led to massive losses. According to Maverick, City group capital recovered by 2017 with a capital ratio of approximately 14.

7 percent and a market cap of 184. 2 B, 2015: $86. 1B, 2014: $84. 3 B. (Money Summit). 26 B, 2016: $83. 7 B, 2015: $24. 4 B, 2014: $21. 7B. (Money Summit). 9 B, 2015: $22. Asset 2014: 2,351. 70 B, 2015: 2,490. 97 B, 2016: 2,573. 13 B billion (Rel Banks). 53 trillion 2014: 1,930. 84 trillion Wells Fargo: SWOT Analysis (Wells Fargo) Strength Wells Fargo specializes in three major segments; small, personal and commercial industries. The firm's services include; banking, credit insurance, loans, wealth management, investing and retirement in addition to rewards and benefits services. The commercial segment provides loans, credit facilities, insurance, online banking, merchant and payroll among other services. An acquisition is also another strength of the company. The firm has a series of acquisitions through the merger process. Community banking serviced of Well services entails services such as credit cards. Debit cards, bank accounts, loans and account management services.

This service is regarded as the most profitable division of Wells Fargo. Weaknesses Bank Scandal – The fake accounts and also the fraudulent transaction that hit one of the top financial service providers across the world led to a negative perception. Some customers lost trust with the financial service operator and sought different options. Recommendations i. Tap on internet services to offer monthly statement and accounting transfer services. ii. Expand Wells Services to other nations across the world. iii. B. "Performance and evaluation of manufacturing systems. " CIRP Annals-Manufacturing Technology 54. Money Summit. “How the four biggest US banks generate income and revenue. Wells Fargo https://www. wellsfargo. com/about/corporate/history/ Dixon, Amanda. “America’s 15 largest banks. ” Bank Rate. Wells Fargo, https://www08.