How to buy Wells Fargo shares

Wells Fargo is a multinational financial services company headquartered in San Francisco. Find out they key things you need to know before you invest, including the history of the company and how to buy Wells Fargo shares.
By: Charlie Hancox
Charlie Hancox
Alongside his passion for trading, Charlie has represented Great Britain and won national championships as a water polo player,… read more.
Updated: Oct 25, 2021
Tip: our preferred broker is, eToro: visit & create account

This guide introduces you to the Wells Fargo business model and what it can offer to investors. We run through the important information you need to make an educated investment in Wells Fargo stock such as the company’s investment prospects, and the best place to buy Wells Fargo shares.

Compare the best Wells Fargo trading platforms

If you are already set on investing, click one of the links in our table below and sign up to one of the best places to buy Wells Fargo stock: a top broker. These platforms have been independently vetted by our team of financial experts to make sure they provide the industry-leading service you demand. For more information on Wells Fargo, keep scrolling down this page.

1
Min. Deposit
$50
Promotion
User Score
10
Trade/invest in stocks with just $50
Invest for dividends and get payout on stocks on Ex-Dividend day
Over 11 payment methods, including PayPal
Start Trading
Description:
eToro is a multi-asset investment platform with more than 2000 assets, including FX, stocks, ETF’s, indices and commodities. eToro users can connect with, learn from, and copy or get copied by other users. Buying stocks on eToro is free and you can invest with as little as $50.
Payment Methods
Bank Transfer, Wire Transfer
Full regulations list:
CySEC, FCA
eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro. Your capital is at risk.
2
Min. Deposit
$1
Promotion
User Score
9.3
0 Commissions and no deposit minimums
Registered with and regulated by SEC and FINRA
Loss of cash protection
Start Trading
Description:
Financial company driven by technology and offering all-in-one self-directed investment platform that provides excellent user experience.
Payment Methods
Full regulations list:

How to buy Wells Fargo stock, a step-by-step guide

This is a simple task, even for an inexperienced investor. We have broken the process down into the easy-to-follow steps you need to take to make an investment.

  1. Choose a broker. In order to invest, you need to use an online brokerage platform. There are many different options to choose from, each with its own unique benefits and drawbacks. The comparison table above can help you select the right broker for you, and you can head to our comprehensive broker reviews if you’re still unsure, or check out our apps page.
  2. Create an account. Once you’ve selected your broker, simply go to their website and create an account. The steps required for this will vary from platform to platform, but generally, you can expect to have to provide your name, email address, phone number, and some form of photo identification.
  3. Deposit funds. Log into your broker account and select the option to deposit funds. Depending on your broker you’ll have a variety of payment options available; most brokers accept bank transfers and debit card payments, but not all accept e-wallets such as PayPal. Select your preferred payment method and deposit the amount of money you wish to invest in Wells Fargo shares.
  4. Place an order for WFC stock. Now navigate to the shares page on your platform of choice. Here, you’ll be able to search for Wells Fargo’s ticker symbol (WFC) and see the current price at which the stock is trading. If you’re happy with the price, enter the number of shares you wish to purchase and place your order.
  5. Execute your order. Once you have placed your order, your broker will automatically execute it for you and your Wells Fargo shares will be listed in your account. Congratulations, you’ve just bought shares in Wells Fargo!

What is Wells Fargo? And should I invest?

Wells Fargo is a multinational financial services provider that was founded in 1929 in Minneapolis. The company offers services including banking, credit cards, loan, mortgages and more. It was briefly the world’s largest bank in 2015 and remains one of the largest and most valuable banks in the world today with nearly $2 trillion in total assets.

In 2018, it owned 8,050 branches and 13,000 ATM machines worldwide. This number is likely to have fallen as the bank has been retreating from retail banking in the midwestern United States, though it remains a senior domestic player. The company had its IPO on Oct 6, 1978, and it is a large-cap stock listed on the NYSE under the ticker NYSE: WFC.

With operations in 35 countries and over 70 million customers globally, the financial and large-cap stock currently has a dividend of $0.10 per share. The company has experienced controversy, most notably the account fraud scandal in 2016, though, given its track record and relative stability, many see it as a quite safe investment.

How has the company performed in recent years?

The company’s share price has performed well in 2021; however, it fell substantially last year after underwhelming earnings and reduced dividends, and it is still picking up the slack. Specifically, the company’s net income fell by 90.47% from $17.94 billion in 2019 to just $1.74 billion in 2020. CEO Charles Scharf put this decline down to historically low interest rates reducing net interest income while expenses remained elevated.

There are plenty of other reasons for the stock’s underperformance, including the impact of the COVID-19 pandemic on the financial sector and numerous regulatory issues. However, there are reasons to be positive. Scharf has pledged to both ramp up Well Fargo’s investment baking division and cut billions of dollars of expenses from the company’s balance sheet.

Despite everything that has happened, Wells Fargo has maintained solid credit quality with strong fundamentals and a decent balance sheet, and its resurgence this year is a testament to this. It remains to be seen how well established financial institutions perform in the future, especially with the rise of decentralised cryptocurrencies, and this is a consideration you should definitely make before investing.

Is it a good time to buy Wells Fargo shares now?

This depends on your own investment thesis. In the short-term, it doesn’t appear like Wells Fargo is out of the wood just yet, with predicated impacts on immediate earnings and the continued effect of the pandemic. However, as a long-term value play, it appears the company has the foundations in place to potentially return to its pre-COVID trading levels.

Major banks are both blue-chip and cyclical stocks because they have large valuations that are heavily affected by broader economic trends and cycles. This means they can be strong, stable investments during bull markets but can fall in value considerably during bear market. Make sure you consider broader economic conditions before investing in Wells Fargo.

If you decide to invest, make sure you keep an eye out for the latest macro economic trends and the individual business activities of Wells Fargo. You can find a summary of our latest analysis on these topics below:

Buying, selling and trading shares for beginners

What to do before buying shares

You should always take the time to research a stock fully before investing your money, especially if you haven’t bought shares before. The more knowledge you have, the better your chances of making a wise investment. 

With that in mind, here’s a checklist to run through before investing in Wells Fargo shares.

  1. Research the company. You should always examine the fundamentals of a company before buying its stock. What is Wells Fargo? How did the company get its start? How did it grow? Is Wells Fargo’s revenue and profit growth picking up? Is the company innovating? The more you know about Wells Fargo, the better positioned you’ll be to make smart investment decisions.
  2. Make sure you understand the basics of stock investing. Before you start investing in the stock market, make sure you have an understanding of how it works. This will ensure that you have more clearly defined goals and have thought about things like volatility.
  3. Decide between share dealing and CFD trading. Decide what type of investor you are and choose the type of investment strategy you want to pursue, and make sure you have carried out the necessary fundamental or technical analysis for share dealing and CFD trading respectively.
  4. Set the size of your budget. The golden rule of investing is never to risk more than you can afford to lose. Not every investment you make will result in a profit, so it is important to set a budget that not only allows good potential for capital growth, but also protects against overly damaging losses.
  5. Find the right broker. Individual brokers each have their own pros and cons. Some will have low fees but have a user interface you struggle to understand, whereas others may be a bit more expensive but come with a range of features that you want to take advantage of. Use our broker reviews to find the right platform for you.
  6. Examine broader market conditions. No stock exists in a vacuum, and it’s always important to analyse the general trends of the stock market as a whole before investing. If a bear market is setting in and stock prices are falling, it’s best to wait it out and invest your money later when the stock is cheaper. While if the market is looking bullish, you’ll want to make your investment quickly to get the maximum benefit from rising stock prices. Follow our news to stay on top of the financial markets.

What is the difference between buying, selling, and trading shares?

If you’re new to stock investing, then it’s important to understand the basics of investing in Wells Fargo shares. Here’s a quick run-through of what’s involved in each method.

Buying Wells Fargo

This process involves finding a broker and placing an order for Wells Fargo stock, as outlined in the steps further up this page. Ideally, you want to time your investment when the stock’s price is low so that you can profit by selling the shares after they increase in value.

Selling Wells Fargo

When you sell any Wells Fargo shares you have bought, you’ll want to do so at a higher price than the one at which you bought to earn a profit. 

When you sell is up to you. You might decide to hold for the long term, hoping to benefit from the company growing steadily throughout. Or, if you see that Wells Fargo’s stock is already up a lot compared to the price you bought it and you’ve noticed that the stock market is starting to fall, it might make sense to sell and take your profits to invest elsewhere. Equally, if the stock has fallen since you bought it and looks set to fall further, it might be a good idea to cut your losses by selling your shares.

Trading Wells Fargo

Trading is the same process as buying and selling shares, it’s just done over shorter periods of time with the aim to make small profits on a regular basis. This means that you can make money faster and spend your profits in your day-to-day life – however, on the other side it means you can lose money faster as well. For inexperienced investors, we generally recommend making investments for at least 6 months to a year instead of making trades in quick succession.

You can trade Wells Fargo shares through buying and selling shares, or by trading with CFDs. These allow investors to speculate on stock prices and trade with leverage in pursuit of bigger gains. CFDs trading is explained further in the next section, but it is worth noting that beginners should avoid trading with leverage. It comes with large risks and is best left to experienced investors.

Share dealing vs CFD trading

When it comes to investing in any stock, the two options you have are share dealing and trading. Which one of these methods to opt for largely depends on your investment timeline, with investors thinking long term tending to go for share dealing, and those looking for short term gains pursuing a more aggressive trading strategy.

Here’s a quick summary of the two approaches, and the pros and cons of each.

Share dealing 

Share dealing refers to the practice of holding shares in a particular company over the long term. When investing like this, you’re seeking to profit either from dividend payments or an increase in the stock’s price over time.

When investing your money this way, it is important to do a thorough fundamental analysis of the company in which you are investing. You want to put your money in a stock you believe will trend upwards over time, even if there is some market volatility along the way, rather than get distracted by shorter-term peaks and troughs.

Pros

  • Can build wealth over time to achieve financial goals
  • Don’t need to be very reactive to short-term market movements
  • Some stocks will give you an income through regular dividend payments

Cons

  • Takes a long time to realise any profits
  • Your capital is tied up in stocks and cannot be used for other investments

CFD Trading 

If your aim is to generate profits in the short term, then you might be better off trading shares than holding them in your portfolio. Stock trades like this are executed using CFDs (contracts for difference), which allow investors to trade against the value of a stock without having to take ownership of it. When CFD trading, investors are looking to buy and sell stocks fast to profit from short-term fluctuations in value.

One aspect of CFD trading that many investors find attractive is that they allow you to trade with leverage. This means you can place large trades while only putting up a fraction of the value yourself – for instance, if a platform offered leverage of 1:10, you could put £10 into WFC shares and be able to trade £100 worth. This can maximise profits if the market moves in your favour, but be careful as it can also lead to heavy losses.

When trading using CFDs, it is key to be skilled at technical analysis and reading stock price charts. As you’re trading stocks quickly and frequently, the fundamental strength of the company in which you’re investing isn’t as important as being able to predict how its stock price will rise and fall minute-by-minute.

Pros

  • Can generate fast profits if you read the market right 
  • Some platforms allow you to trade with leverage
  • Prevents your capital being tied up so you can take advantage of investment opportunities

Cons

  • Trading with leverage is risky and can lead to big losses
  • Doesn’t necessarily generate growth over the long term

Consider which approach suits you best and craft an investment strategy that works for you. If you need more information, use our trading course and read our guide to CFD trading to get you up to speed. 

If neither of these options appeal to you, then you can find a variety of other ways to invest in WFC stock on this page. If, however, you’re ready to buy Wells Fargo shares now, simply select one of the brokers in the table above and get started. 

How to choose a broker

With the wide variety of online brokers available these days, it can be hard to figure out which is the best service to go with. Our comparison table and in-depth reviews can help you cut through the noise, but by and large these are the aspects you should be considering when selecting a broker:

  • Range of stocks available. The most important thing is that you can actually use the broker to buy the shares you’re looking for. Some brokers offer more stocks than others, and many will allow you to trade other assets, such as cryptocurrency and commodities.
  • Fees and commissions. You want to keep as large a chunk of your profits as you can, so it’s important to make sure your broker doesn’t charge high fees that can eat into your profits.
  • Regulation. You should only use regulated brokers to place trades. Unregulated brokers can be risky and offer little to no protection if the business were to fail while you had funds in your account.
  • Payment methods available. You might want to use a specific payment method, such as PayPal. Not all brokers accept every payment method, but by using our comparisons, you can search for only the brokers that support the option you’re looking for.
  • Reputation. One of the strongest indicators of a broker’s reliability is the reputation it has with the customers who have used it. Brokers are online businesses, and as such many user experiences can be found online. You can check these out in addition to our reviews to make sure you choose the right platform.
  • Customer service. As you’re going to be investing your money using the platform, you want to check that the broker offers good customer service in case you have a query or something goes wrong.

Latest Wells Fargo news

Wells Fargo & Company (NYSE: WFC) shares have weakened from their recent highs above $48, and the current price stands around $44. Wells Fargo reported better than expected second-quarter results this week, and CEO Charles Scharf said that the outlook for the rest of the year is promising Fundamental…
Wells Fargo & Co. (NYSE: WFC) reported its financial results for the second quarter on Wednesday that beat Wall Street estimates. The bank valued releases from its loan loss reserves at $1.6 billion in the recent quarter as the U.S. economy continued to claw its way out of the…
Wells Fargo & Co (NYSE: WFC) came under fire from its customers as the bank announced on Thursday night it was closing all existing personal lines of credit. The consumer lending product that typically let customers receive up to $100,000 in revolving credit lines will be discontinued in…
An ex Wells Fargo & Co (NYSE: WFC) executive, Alicia Reyes, has claimed that the financial giant had an inconsistent compliance culture while its executives allegedly acted like a “mafia” to quash internal critics. The allegations are as per a recorded call filed at a U.K. court as…
The Federal Reserve announced on Thursday that the most prominent US banks could withstand a severe recession. According to results from the Fed’s annual stress test, all the 23 banks were “well above” the required minimum capital levels in a hypothetical economic crunch, CNBC reported Fed tested for a…
About 10 large U.S. banks have agreed to be part of a pilot program to extend credit services to people who do not have any credit score and thus, have been locked out of borrowing opportunities in the past, according to a Wall Street Journal story.  People may not…

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Charlie Hancox
Financial writer
Alongside his passion for trading, Charlie has represented Great Britain and won national championships as a water polo player, and as a budding film director, has… read more.