Just when it looked like Wells Fargo (NYSE: WFC) would finally be able to put its somewhat checkered past behind it, pow! New (but familiar) gaffes surface. The SEC is now penalizing the bank's investment advisory arm to the tune of $125 million for record-keeping failures.
That development follows another round of unauthorized account openings, reprising fading memories of 2016's scandalous opening of several million unauthorized bank and credit card accounts. Never even mind this year's industrywide bank-liquidity challenges put into focus by the collapse of SVB Financial's Silicon Valley Bank against the backdrop of a deteriorating lending market. It's a miracle the stock's held up as well as it has.
As the old adage goes, though, expect it when you least expect it. The swell of pessimism surrounding Wells Fargo stock right now is a prime entry opportunity into its long-term growth potential.
Source Fool.com