Wells Fargo reported first-quarter net interest income of $12.1 billion versus $12.3 billion expected and noninterest income of $9.35 billion versus $9.5 billion, prompting a 4.8% decline in its share price. This drop marked the largest intraday fall in a year and extended the stock's 2026 decline to 12%.

The bank's net interest margin narrowed to 2.47% as lower interest rates weighed on floating-rate assets and increased balance sheet deployment toward markets and interest-bearing deposits. Management indicated that further compression may persist into the second quarter, though they expect relief as repurchase agreement activity stabilizes.

Trading revenue surged 38% to $1.35 billion while investment advisory fees and brokerage commissions rose 10% to $3.49 billion. Credit quality remained stable with net charge-offs at $1.1 billion and loan-loss provisions increasing 22% to $1.14 billion, alongside $210.2 billion in loans to nonbank financial firms, including $36.2 billion to private-credit entities.