New York Community Bancorp Analysts Cut Their Forecasts After Q4 Earnings
Portfolio Pulse from Avi Kapoor
New York Community Bancorp (NYSE:NYCB) reported Q4 financial results below expectations, with a revenue of $740 million against an estimate of $811.07 million and an adjusted loss of 27 cents per share versus expected earnings of 28 cents per share. The company also announced a $552 million provision for loan losses and reduced its quarterly dividend to 5 cents per share. Following the report, NYCB shares dropped 37.7% to $6.47. Analysts from RBC Capital, Jefferies, and Raymond James subsequently downgraded the stock and lowered their price targets.
February 01, 2024 | 12:16 pm
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New York Community Bancorp reported disappointing Q4 results, missed revenue and earnings estimates, recorded a significant provision for loan losses, and cut its dividend, leading to a sharp 37.7% drop in its stock price.
The significant miss on both revenue and earnings expectations, combined with a substantial provision for loan losses and a dividend cut, directly impacts investor confidence and the company's financial stability. These factors are likely to exert downward pressure on NYCB's stock price in the short term, as evidenced by the immediate 37.7% drop following the announcement. The downgrades and lowered price targets by analysts further validate the negative outlook.
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IMPORTANCE 100
RELEVANCE 100