Forget about the $185 million fine Wells Fargo (WFC) agreed to pay for secretly opening millions of accounts without customers' permission. Here's something that really stings:
Shares of Wells Fargo dropped $1.58, or 3.3%, to $46.96 Tuesday after the bank continues to be in damage-control mode connected with its settlement with the
Wells Fargo's market premium has consistently made it more valuable than other U.S. banks the past five years, even though it's not the biggest in terms of revenue and profit. Wells Fargo was worth 14% more than
But the tables have been turned in terms of stock market value at least. On Tuesday, shares of JP Morgan fell 53 cents, or 0.8%, to $66.53, less than the drop in Wells Fargo's shares. That gives JP Morgan, the bank with the most revenue, also the biggest market value of $240.3 billion among U.S. banks. Berkshire Hathaway has the largest market value of any company in the broader financial sector, which includes banks, in the Russell 1000 index.
Most bank stocks have suffered the past two weeks. . The Select Sector SPDR Trust (XLF) exchange traded fund, which contains shares of leading financial firms, is down 2.7% from two weeks ago. But during that same period, Wells Fargo has suffered much more, dropping 7.2%.
MOST VALUABLE FINANCIAL COMPANIES IN RUSSELL 1000
Company, symbol, market value ($ millions)
Berkshire Hathaway, BRK.A, $359,406.0
Wells Fargo, WFC, $236,936.7