WFC Down -5.5% In A Day. What Happened Next Before?
- In Global Financial Crisis, Wells Fargo stock declined 80% vs 57% for S&P 500. During covid pandemic, it dropped 61% compared to the S&P 500’s 34%.
- Following the 2018 Correction, recovery for the stock took longer – 71 months versus 4 for the S&P 500. In the global financial crisis, the stock lagged, needing 51 months to recover while the S&P 500 did it in 49.
Wells Fargo Stock Performance In Market Crashes:
| WFC | S&P 500 | |
|---|---|---|
| Dot-Com Bubble | ||
| % Change from Pre-Recession Peak | -37% | -37% |
| # of Months for Full Recovery | 9 | 69 |
| Global Financial Crisis | ||
| % Change from Pre-Recession Peak | -80% | -57% |
| # of Months for Full Recovery | 51 | 49 |
| 2018 Correction | ||
| % Change from Pre-Recession Peak | -34% | -20% |
| # of Months for Full Recovery | 71 | 4 |
| Covid Pandemic | ||
| % Change from Pre-Recession Peak | -61% | -34% |
| # of Months for Full Recovery | 14 | 5 |
| Inflation Shock | ||
| % Change from Pre-Recession Peak | -39% | -25% |
| # of Months for Full Recovery | 13 | 15 |
Worried that WFC is yet to hit the bottom? You could take a look at the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
Relevant Articles