The hit to mortgages Wells Fargo & Co. reported Wednesday echoes the story of many banks this earnings season. The problem for Wells is that home loans are a bigger part of its business.

Looking beyond its record quarterly profit, investors hammered Wells' stock because revenue fell 5.2% year over year, to $20.3 billion, and mortgage revenue declined by $741 million quarter over quarter. (Year over year it was unchanged.)

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