From CNBC: 2025-03-24 16:17:00

Wells Fargo shares rose on Monday despite Wall Street price target cuts. The stock has rallied 10% since March 10 but is still below its record high. Analysts remain optimistic about future growth once the Fed-imposed asset cap is lifted, citing multiple positive drivers.

Morgan Stanley lowered Wells Fargo’s price target, but still sees 9% upside. The bank faces regulatory challenges but has cleared five consent orders this year. Removal of the asset cap could lead to faster growth and increased revenue diversification, benefiting the stock in the long run.

Investors are advised to hold onto Wells Fargo stock as the asset cap removal could drive future growth. The bank is making progress in clearing regulatory hurdles, positioning itself for a potential boost in investment banking and revenue streams diversification. Analysts are optimistic about the stock’s long-term prospects.

Read more: Wells Fargo’s strong rebound rally continues. How we’re playing the move higher