The Fed Gives Wells Fargo a Clean Bill of Health

The Federal Reserve just said that it has no objection to the capital plan submitted by Wells Fargo (WFC). This means the bank can now raise its dividend to 37.5 cents per share from the current level of 35 cents per share. That’s a 7.1% increase. That’s what the bank’s board is planning to do at their meeting next month.

“We are pleased to receive the Federal Reserve Board’s non-objection to our capital plan to increase our common stock dividend and continue our strong share repurchase activity,” said Chairman and CEO John Stumpf. “This result again demonstrates the benefit of our diversified business model and conservative risk discipline, which have positioned us well to return capital to shareholders within our targeted range while maintaining strong capital levels.”

The shares are up 19 cents in after-hours trading.

Posted by on March 11th, 2015 at 5:26 pm


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