According to Reuters, Warren Buffett of Berkshire Hathaway likely voted for Wells Fargo & Co (NYSE:WFC)‘s current board of directors in the vote to decide the makeup of the bank’s future board next week. Wells Fargo’s current board is in jeopardy of being booted due to the bank’s previous fake account/cross selling scandal, which has harmed its reputation and hurt the company’s community banking business. Former CEO John Stumpf has already stepped down and seen some of his salary clawed back due to the event.
Buffett’s firm is Wells Fargo’s largest single investor with around 10% of the float. Given Buffett’s unparalleled history of successful and virtuous investing, Buffett’s vote of confidence might also sway other investors to give Wells Fargo & Co (NYSE:WFC)’s current board a second chance as well.
What Does The Smart Money Sentiment Say?
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Smart money sentiment in Wells Fargo remained bullish in Q4. Of the 742 top institutions we track, 100 owned shares of Wells Fargo & Co (NYSE:WFC) at the end of December, down 4 funds from the previous quarter. Of those 100 elite funds, Natixis Global Asset Management‘s Harris Associates is in second place, with a holding of 23.5 million shares at the end of 2016.
The Bottom Line
The Oracle of Omaha likely voted for Wells Fargo & Co (NYSE:WFC)’s current board, per Reuters. For more reading, check out ‘10 Best Countries for Offshore Banking‘.