Bank On It; “Raising” Hell at Wells Fargo?; The Domino’s Pizza Effect


Image courtesy of sheelamohan/

Image courtesy of sheelamohan/

In case you missed it, the BIG three banks all announced earnings their earnings. The biggest of them all, JP Morgan Chase was expected to rake in $1.38 a share. Instead it took in $1.36. Sure it’s just two cents. But when you’re JPMorgan Chase it isn’t just two cents, but so much more. However, the bank still pulled in way more revenue than expected, surpassing those surly estimates by over a billion dollars.  Citi is up next with earnings of $1.15 per share but yet again, not as much as everybody would have liked. Citi, the third largest bank (by assets, mind you) is also ditching its consumer banking divisions in Japan, Egypt and 11 other countries that just couldn’t cut the fiscal mustard. Which brings us to Wells Fargo which picked up $1.02 per share and $5.7 billion  – a 3% increase over the same time last year. Precisely what analysts predicted.  As for revenue, the San Francisco-based bank pulled in over $21 billion and a 4% gain over last year.

Can you cc me on that?

Image courtesy of digital art/

Image courtesy of digital art/

But it’s not just Wells Fargo’s earnings that have everybody talking today. For that story we mosey on over to Oregon, far beyond the clutches of Wall Street and Wells Fargo CEO John Stumpf. It seems Wells Fargo employee Tyrel Oates recently emailed an idea he had for Mr. Stumpf. Mr. Oates kindly suggested that the bank’s 260,000+ employees should receive a $10,000 raise that could be taken from all those profits the bank has been earning, including this quarter’s $5.7 billion. The thirty year old Oates feels it would be a fine way to reduce income inequality. Mr. Oates currently earns $15 per hour and works a forty hour week. Mr. Stumpf will make over $19 million this year. A Wells Fargo spokesperson said that employees receive “market competitive” compensation. It’s a good thing Mr Oates made sure to “cc” a couple hundred thousand of his fellow employees on it, otherwise how would we have known all this?

By the pie…

Image courtesy of Suat Eman/

Image courtesy of Suat Eman/

Who else beat analysts’ expectations? I’ll give you a hint: How fast do you like your pizza delivered? Domino’s Pizza gave a smack down to Wall Street expectations of its third quarter earnings with profits 16% higher than the same time last year. Net income for the international pizza chain came in at $35.62 million. The Michigan-based pizza chain pulled in $446.57 million in revenue, easily trumping analysts’ estimates of $434.8 million. And if all that isn’t appetizing enough, how about that $0.25 per share quarterly dividend the company is going to shell out?

One response to “Bank On It; “Raising” Hell at Wells Fargo?; The Domino’s Pizza Effect

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