Will Bank Of America Or Wells Fargo Stock Grow More By 2025?
Every week, Benzinga conducts a sentiment survey to find out what traders are most excited about as they manage and build their personal portfolios.
Nearly two in three traders and investors, or 65.8% overall, told us shares of Bank of America would grow more in the next five years.
Bank Of America Vs. Wells Fargo Stock
Participants in our study are well aware of the implications the pandemic has had on the financial sector. Many respondents noted a “Buffett effect” prevailed when it came to their confidence in Bank of America.
While it's true Buffett has reduced his exposure to the banking sector, our team reported that Bank of America is Berkshire’s second-largest holding. The stock’s 14.1% gain in the last month solidifies Bank of America as one of Berkshire’s top performers.
Overall, respondents expressed their confidence in Berkshire and Buffett’s recent additions to the Bank of America stake.
“Because Bank of America is owned and being actively bought by Warren Buffet, I think that the bank will make strong investments and acquisitions while balancing risks,” they said.
To get a sense of how an investment in Bank of America has rebounded from previous, historic economic hardships, here’s a look at how much investing $1,000 in Bank of America at the Great Recession lows would be worth today.
Meanwhile, only 34.2% of readers said they believe shares of Wells Fargo would grow more in the next five years.
Many respondents were far from encouraged by the leadership and performance of Wells Fargo CEO Charles Scharf, stating that the stock has lost roughly 50% of its value under his leadership.
As we recently reported on Wells Fargo: the financial services company has been plagued with a series of scandals, including a 2016 string of misconduct involving employees creating fraudulent accounts on behalf of customers.
This survey was conducted by Benzinga in November 2020 and included the responses of a diverse population of adults 18 or older.
Opting into the survey was completely voluntary, with no incentives offered to potential respondents. The study reflects results from over 300 adults.
Photo by Tony Webster via Wikimedia.
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