The Zacks Analyst Blog Highlights: Wells Fargo & Company, Citigroup, Bank of America, Apple and JPMorgan Chase

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For Immediate Release

Chicago, IL - February 08, 2016 - announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Wells Fargo & Company ( WFC ), Citigroup Inc. ( C ), Bank of America Corp. ( BAC ), Apple Inc. ( AAPL ) and JPMorgan Chase & Co. ( JPM ).

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Here are highlights from Friday's Analyst Blog:

Bank Stock Roundup

Over the last five trading days, banking stocks continued to trend lower. Persistent weakness in the U.S. economic data, global growth concerns and volatility in oil prices have made the operating backdrop more challenging for banks.

Further, lackluster outlook of banks for the quarters ahead and divergent monetary policies across major economies have raised concern on part of investors. Also, lower probability of any further rate hike by the Federal Reserve in 2016, owing to a soft 4Q15 GDP report, has derailed the case for a rising rate environment.

Persistent legal woes are further adding fuel to fire for banks. Though banks are restructuring their operations to augment efficiency, these measures will take time to reflect substantial financial impact.

(Read the last Bank Stock Roundup for Jan 22, 2016 )

Recap of the Week's Major Developments:

1. Per a U.S. Securities and Exchange Commission filing, Wells Fargo & Company ( WFC ) agreed to end a three-year long mortgage litigation filed by the U.S. government pertaining to the bank's Federal Housing Administration ('FHA') lending program. The settlement amount is around $1.2 billion.

Giving effect to legal costs, Wells Fargo's 2015 earnings will be reduced by $134 million, or 3 cents per share. Notably, in January, the company reported net income of $23 billion or $4.15 per share for 2015 (read more: Wells Fargo Resolves FHA Mortgage Suit; To Pay $1.2 Billion ).

2. Citigroup Inc. ( C ) is set to shell out $23 million for resolving claims of conspiring to manipulate the benchmark yen Libor rate. Though the settlement papers were filed in the U.S. District Court in Manhattan, it awaits court approval.

Citigroup has also agreed to cooperate with the plaintiffs. Vincent Briganti, a lawyer for the plaintiffs, justified the early settlement with Citigroup on grounds of the bank's "limited involvement" in the case (read more: Citigroup Settles Yen Libor Manipulation Suit for $23M ).

3. Banks are revamping and modernizing their ATM networks. According to Reuters, which cited technology website TechCrunch, banking majors like Bank of America Corp. ( BAC ) and Wells Fargo are working toward integrating Apple Inc.'s ( AAPL ) Apple Pay, a mobile payment system, into their ATM network, thereby eliminating the use of plastic cards.

Apart from BofA and Wells Fargo, JPMorgan Chase & Co. ( JPM ) is also headed toward rolling out cardless ATMs in 2016. The company is working on a code-based system that will generate a temporary password to facilitate the transaction through its mobile banking application (read more: BofA, Wells Fargo & JPMorgan to Roll Out Cardless ATMs? ).

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WELLS FARGO-NEW (WFC): Free Stock Analysis Report

CITIGROUP INC (C): Free Stock Analysis Report

APPLE INC (AAPL): Free Stock Analysis Report

JPMORGAN CHASE (JPM): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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