Updating your Income stocks: Wells Fargo, McCormick and Alliant Energy

Article Excerpt

WELLS FARGO & CO. $38 (www.wellsfargo.com) is still a buy. The bank recently agreed to sell its student loan portfolio, which totalled $10.0 billion as of September 30, 2020. It expects to complete the transaction in the first half of 2021. As a result of that deal, Wells Fargo took back $757 million of the funds it had previously set aside to cover possible defaults on student loans. Due to that drop in loan-loss provisions, Wells Fargo’s earnings in the quarter ended December 31, 2020, rose 3.8%, to $2.64 billion from $2.55 billion a year earlier. Earnings per share gained 6.7%, to $0.64 from $0.60, on fewer shares outstanding. Wells Fargo is a buy. MCCORMICK & CO. INC. $85 (www.mccormick.com) is a hold. The spice and seasonings maker recently paid $800 million for the parent company of Cholula Hot Sauce. The purchase should add $96 million to McCormick’s annual sales of $5.6 billion. The company has a long history of using acquisitions to fuel its growth, which adds…

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