Wells Fargo Q3 2026: EPS up 13% to $1.87, while higher rates cut CET1 to 10.0%

Wells Fargo, with $2,243.5 billion of average assets in the quarter, earns most of its revenue from the spread between what it pays on deposits and what it earns on loans and securities (net interest income was about 57% of Q3 revenue, our arithmetic), with fees from wealth management, cards, deposits and investment banking on top. Its average loans and deposits both grew 11% from a year earlier, to $1,033.4 billion and $1,482.9 billion.

Compared with a year earlier, the third quarter combined faster balance-sheet growth with flat revenue: loans and deposits up 11% each, revenue up 2%. Against the second quarter, earnings fell, mostly because noninterest income in the Corporate segment dropped. And capital moved through a line most readers skip, accumulated other comprehensive income (AOCI), where certain unrealized gains and losses are recorded. The sections below take the income statement first and the balance sheet second.

Wells Fargo Q3 2026 results at a glance

$ millions, except per share and %	Q3 2026	Q2 2026	Q3 2025
Net interest income	12,517	12,317	11,950
Noninterest income	9,353	10,305	9,486
Total revenue	21,870	22,622	21,436
Provision for credit losses	1,029	914	681
Noninterest expense	13,743	13,661	13,846
Net income	5,951	6,407	5,589
Diluted EPS	$1.87	$2.00	$1.66
ROTCE	16.3%	17.7%	15.2%
CET1 ratio	10.0%	10.3%	11.0%

Against Q2, net income fell 7% and EPS 6%, mostly because noninterest income fell by about $952 million (our arithmetic); about $887 million of that drop was in the Corporate segment (our arithmetic), where noninterest income fell to $115 million from $1,002 million. The presentation links Corporate’s year-on-year decline to lower venture capital results and lower lease income after the sale of the rail car leasing business.

Net interest income and the full-year outlook

Net interest income rose 5% from a year earlier and 2% from Q2 to $12,517 million, and the net interest margin held at 2.43%. Excluding the Markets business, NII was $12.1 billion, up 2%, driven by higher loan and securities balances and fixed-rate asset repricing, partly offset by lower rates on floating-rate assets and higher deposit costs. Markets NII rose to $428 million from a year earlier.

The exhibits give no revenue or EPS guidance, but the presentation gives two outlook figures, both unchanged from prior guidance: 2026 net interest income of about $50 billion and 2026 noninterest expense of about $55.7 billion. It also expects Q4 NII of about $13 billion. Nine-month NII was $36,930 million, so the full-year figure implies about $13.1 billion in Q4, consistent with that guide; nine-month noninterest expense was $41,734 million, which leaves about $14.0 billion for Q4 (our arithmetic).

Fees, expenses and the 8% smaller workforce

Noninterest income fell 1% from a year earlier. Higher investment advisory, deposit-related, investment banking and card fees were more than offset by lower trading gains, lower lease income, lower venture capital results and lower mortgage banking income. Within Corporate and Investment Banking, Banking revenue rose 8%, with investment banking up 10%, while Markets revenue fell 1% as FICC dropped 7% and equities rose 21%.

Noninterest expense fell 1% to $13,743 million. The presentation shows personnel expense down $276 million, with an 8% reduction in headcount to 194,000 and lower severance (the release notes the year-ago quarter included $296 million), partly offset by higher revenue-related pay; non-personnel expense rose $173 million, mainly technology and equipment. The efficiency ratio was 63%, against 65% a year earlier and 60% in Q2. The release also notes $170 million of discrete tax benefits in Q3.

Credit: commercial charge-offs up, consumer down

The provision for credit losses rose to $1,029 million from $681 million a year earlier: net charge-offs of $983 million plus a $46 million increase in the allowance, against a $273 million release a year earlier. The allowance rose for commercial and industrial and auto loans on higher balances and fell for commercial real estate.

The net loan charge-off rate was 0.38% annualized, against 0.34% in Q2 and 0.40% a year earlier. Commercial charge-offs rose to 0.18% from 0.10% in Q2 on higher commercial real estate and commercial and industrial losses, while consumer charge-offs fell to 0.70%. Nonperforming assets fell $585 million to $7.4 billion, or 0.70% of loans, mainly on lower commercial real estate nonaccruals. The allowance covered 1.38% of loans.

Capital: AOCI took the CET1 ratio to 10.0%

The CET1 ratio (Standardized Approach; the September figure is a preliminary estimate) fell to 10.0% from 10.3% at June 30 and 11.0% a year earlier. The presentation says a decrease in accumulated other comprehensive income, driven by higher interest rates, reduced the ratio by 38 basis points from Q2. Common stockholders’ equity fell to $158.8 billion from $165.0 billion at June 30, and tangible common equity to $133.4 billion from $139.7 billion.

Wells Fargo repurchased 28.6 million shares for $2.5 billion and paid $1.5 billion of common dividends after raising the quarterly dividend to $0.50 from $0.45. Period-end shares outstanding were down 147.3 million, or 5%, from a year earlier. The presentation puts the estimated regulatory minimum and buffers at 8.5%, and TLAC at 23.0% against a 21.5% requirement.

What to watch in Q4

• Q4 NII against about $13 billion. It was $12.5 billion in Q3; the full-year guide depends on it.
• Rates and AOCI. In Q3, higher rates cut CET1 through AOCI by 38 basis points; the next rate move will show up the same way.
• Commercial charge-offs. Up to 0.18% from 0.10% in one quarter, led by commercial real estate and C&I.
• Expenses against about $55.7 billion. The guide leaves about $14.0 billion for Q4 (our arithmetic).
• Buyback pace. $2.5 billion in Q3 with CET1 at 10.0%.

Quick answers

How much did Wells Fargo earn in Q3 2026?

Net income was $5,951 million, or $1.87 per diluted share, up 6% and 13% from $5,589 million and $1.66 a year earlier. Total revenue was $21,870 million, up 2%.

Why did Wells Fargo’s CET1 ratio fall in Q3 2026?

It fell to 10.0% from 10.3% in Q2. Wells Fargo’s presentation says lower accumulated other comprehensive income, driven by higher interest rates, reduced the ratio by 38 basis points; buybacks and dividends continued.

What is Wells Fargo’s 2026 guidance?

About $50 billion of 2026 net interest income and about $55.7 billion of noninterest expense, both unchanged, plus Q4 net interest income of about $13 billion.

---

Sources and method. Company-wide results, capital and liquidity ratios, credit metrics and operating segment results are Wells Fargo’s own disclosures in Exhibit 99.1 to the Form 8-K filed 2026-10-13 (accession 0000072971-26-000318) for the quarter ended 2026-09-30, read directly from SEC EDGAR and linked above. The 2026 and Q4 outlook, the CET1 walk, NII excluding Markets, personnel and non-personnel expense, headcount, the dividend and buybacks come from the 3Q26 Financial Results presentation, Exhibit 99.3 to the same 8-K. The filing was accepted at 06:28 ET on 2026-10-13 (EDGAR filing index), before the US market opened. The release describes its results as preliminary pending the Form 10-Q.

No consensus estimate is included, so this piece makes no claim that the quarter beat or missed expectations; the only outlook comparisons are with Wells Fargo’s own guidance. This piece makes no claim about the share-price reaction.

Our arithmetic, labelled as such: nine-month NII of $36,930 million ($12,096 million + $12,317 million + $12,517 million) and the ~$13.1 billion Q4 NII implied by the ~$50 billion full-year guide; nine-month noninterest expense of $41,734 million ($14,330 million + $13,661 million + $13,743 million) and the ~$14.0 billion left for Q4 under the ~$55.7 billion guide. net interest income at about 57% of revenue ($12,517 million of $21,870 million); the ~$952 million fall in noninterest income from Q2 ($10,305 million to $9,353 million), of which ~$887 million was in Corporate ($1,002 million to $115 million). These are approximations built on the disclosed figures, not reported numbers. Other growth rates, ratios and changes are as printed in the release or presentation. The September 30 CET1 ratio is a preliminary estimate under the Standardized Approach, as the release states. The interpretation — that falling expenses and share count lifted EPS while higher rates, through AOCI, drove the drop in the capital ratio — is our analysis, not a company statement, and is not a forecast.

Related: JPMorgan Chase Q3 2026 and Bank of America Q3 2026, which reported the same quarter.