Still Too Early to Get Back on Wells Fargo’s Wagon

Wells Fargo expects to remain longer than initially expected under an onerous asset cap

The retail banking industry is undergoing another major shift, and the future looks high-tech, sophisticated, and, for big banks, very urban. So what has changed? Photo: Shaumbé Wright/The Wall Street Journal
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Wells Fargo has been stuck in a rut since details began emerging of its sales abuses a year and a half ago. Despite some optimistic projections from the company on Thursday, it is still too early for investors to get back in.

The bank’s shares have risen just 9% since the Consumer Financial Protection Bureau issued a statement in September 2016 detailing how the bank opened millions of accounts for customers without their permission. Over that same time the KBW Nasdaq Bank Index has risen 53%, amid a turnaround in the broader...