Wells Fargo is likely to gain ground as the bank continues to emerge from recently removed restrictions on its total assets, according to Jefferies. The investment bank initiated research coverage of Wells Fargo with a buy rating and put a $100 price target on shares, implying about 25% upside from Wednesday’s close. Wells was the top pick at Jefferies among four money-center or super-regional banks that it initiated with a buy rating ( Bank of America , Citigroup and PNC Financial were the others). Our “top pick is WFC as the removal of the regulatory asset cap in June 2025 should power above-average growth,” Jefferies analyst David Chiaverini said Thursday in a note to clients. Last June, the U.S. Federal Reserve lifted a 7-year restriction on assets at Wells Fargo, enabling the bank to pursue unhindered growth. The central bank originally imposed the limitations due to governance and control issues at Wells, including employees opening millions of unauthorized accounts to meet work-performance quotas. “Wells is in the early innings of a multiyear recovery in [return on tangible common equity] following the removal of its asset cap in June 2025 and the termination of key consent orders,” Jefferies wrote. “We believe the firm can compete on [an] equal footing with peers, supporting balance sheet growth, lower costs and an improving fee trajectory.” Jefferies’ bullishness tracks with the consensus on Wall Street, where 17 of 27 analysts covering Wells Fargo have a buy or strong buy rating on the stock. Shares of the bank have slumped nearly 16% in the past three months.
