WallStSmart

Wells Fargo & Company (WFC)vsXp Inc (XP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 357% more annual revenue ($81.14B vs $17.77B). XP leads profitability with a 29.1% profit margin vs 26.7%. XP trades at a lower P/E of 9.5x. XP earns a higher WallStSmart Score of 74/100 (B).

WFC

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 6.3Quality: 5.8
Piotroski: 4/9Altman Z: 0.43

XP

Strong Buy

74

out of 100

Grade: B

Growth: 6.0Profit: 8.0Value: 6.7Quality: 3.5
Piotroski: 1/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

WFC6 strengths · Avg: 8.8/10
Market CapQuality
$242.24B10/10

Mega-cap, among the largest globally

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
26.7%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
12.2x8/10

Attractively priced relative to earnings

Operating MarginProfitability
29.4%8/10

Strong operational efficiency at 29.4%

Free Cash FlowQuality
$9.14B8/10

Generating 9.1B in free cash flow

XP5 strengths · Avg: 9.2/10
P/E RatioValuation
9.5x10/10

Attractively priced relative to earnings

Operating MarginProfitability
31.5%10/10

Strong operational efficiency at 31.5%

Return on EquityProfitability
23.7%9/10

Every $100 of equity generates 24 in profit

Profit MarginProfitability
29.1%9/10

Keeps 29 of every $100 in revenue as profit

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Areas to Watch

WFC1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
0.432/10

Distress zone — elevated risk

XP2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Free Cash FlowQuality
$-2.44B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : WFC

The strongest argument for WFC centers on Market Cap, Price/Book, Profit Margin. Profitability is solid with margins at 26.7% and operating margin at 29.4%. PEG of 1.43 suggests the stock is reasonably priced for its growth.

Bull Case : XP

The strongest argument for XP centers on P/E Ratio, Operating Margin, Return on Equity. Profitability is solid with margins at 29.1% and operating margin at 31.5%. Revenue growth of 13.3% demonstrates continued momentum.

Bear Case : WFC

The primary concerns for WFC are Altman Z-Score.

Bear Case : XP

The primary concerns for XP are Piotroski F-Score, Free Cash Flow.

Key Dynamics to Monitor

XP carries more volatility with a beta of 1.19 — expect wider price swings.

XP is growing revenue faster at 13.3% — sustainability is the question.

WFC generates stronger free cash flow (9.1B), providing more financial flexibility.

Monitor BANKS - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

WFC scores higher overall (74/100 vs 74/100), backed by strong 26.7% margins. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Wells Fargo & Company

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.

Xp Inc

FINANCIAL SERVICES · CAPITAL MARKETS · USA

XP Inc. offers financial products and services in Brazil. The company is headquartered in So Paulo, Brazil.

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