Major bank report: Citi downgraded Wells Fargo to neutral and raised the target price to $63

Citigroup's latest research report stated that they adjusted the rating of Wells Fargo Bank (WFC.US) from "buy" to "neutral" and raised the target price to $63. The change reflects optimism about Wells Fargo's future earnings prospects.

Citigroup said that while Wells Fargo has been one of their top picks, based on potential earnings revisions, they believe it is more appropriate to adjust the rating to "neutral." It also means investors should view Wells Fargo investment opportunities more cautiously.

Citi's view on Wells Fargo

Citi pointed out in the report that Wells Fargo has achieved good results in the past, but faces some potential challenges. They believe that Wells Fargo needs to further adjust its profit model to respond to market changes and competitive pressures.

Impact of earnings adjustments

Citi's report also mentioned that Wells Fargo's earnings adjustments will have a certain impact on its stock price. Investors should pay close attention to this situation and make appropriate adjustments to their investment strategies.

future outlook

Finally, Citi remains relatively optimistic about Wells Fargo's future outlook. They believe that Wells Fargo will be able to cope with various challenges and achieve good performance under sound management.