Flagstar Bank, National Association (NYSE:FLG) Downgraded by Wall Street Zen to "Sell"

Key Points

• Wall Street Zen downgraded Flagstar Bank to “Sell” from “Hold,” although the broader analyst consensus remains “Moderate Buy,” with nine Buy, three Hold and one Sell ratings and an average price target of $16.79.
• Flagstar’s latest quarterly results fell slightly short of expectations: EPS was $0.05 versus a $0.06 consensus estimate, while revenue reached $512 million, up 4% year over year but below the $539.34 million forecast.
• The bank authorized a $250 million share buyback, allowing it to repurchase up to 4.1% of outstanding shares; institutional investors collectively own 67.88% of the company.

Flagstar Bank, National Association (NYSE:FLG - Get Free Report) was downgraded by Wall Street Zen from a "hold" rating to a "sell" rating in a research note issued to investors on Saturday.

A number of other research analysts have also weighed in on FLG. Royal Bank Of Canada reduced their price objective on Flagstar Bank, National Association from $16.00 to $15.00 and set a "sector perform" rating for the company in a research report on Monday, July 27th. UBS Group assumed coverage on shares of Flagstar Bank, National Association in a research report on Tuesday, July 7th. They set a "buy" rating and a $18.00 price objective on the stock. DA Davidson reissued a "buy" rating and issued a $17.00 target price on shares of Flagstar Bank, National Association in a report on Monday, July 27th. Piper Sandler lifted their target price on shares of Flagstar Bank, National Association from $16.50 to $17.50 and gave the stock an "overweight" rating in a research report on Friday, June 26th. Finally, Citigroup upped their target price on shares of Flagstar Bank, National Association from $17.00 to $18.00 and gave the company a "buy" rating in a report on Thursday, June 25th. Nine research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, Flagstar Bank, National Association has an average rating of "Moderate Buy" and an average target price of $16.79.

Flagstar Bank, National Association Trading Up 0.1%

NYSE:FLG opened at $13.47 on Friday. The firm has a market capitalization of $5.59 billion, a P/E ratio of 449.00 and a beta of 1.01. The company has a debt-to-equity ratio of 1.43, a current ratio of 0.90 and a quick ratio of 0.90. Flagstar Bank, National Association has a one year low of $10.57 and a one year high of $15.44. The company's 50-day simple moving average is $14.40 and its 200 day simple moving average is $13.94.

Flagstar Bank, National Association (NYSE:FLG - Get Free Report) last announced its earnings results on Friday, July 24th. The company reported $0.05 earnings per share for the quarter, missing analysts' consensus estimates of $0.06 by ($0.01). Flagstar Bank, National Association had a net margin of 1.08% and a return on equity of 0.98%. The business had revenue of $512.00 million for the quarter, compared to the consensus estimate of $539.34 million. During the same period in the prior year, the business posted ($0.14) EPS. Flagstar Bank, National Association's revenue for the quarter was up 4.0% on a year-over-year basis. As a group, analysts forecast that Flagstar Bank, National Association will post 0.33 EPS for the current fiscal year.

Flagstar Bank, National Association declared that its board has authorized a share buyback plan on Friday, July 24th that authorizes the company to buyback $250.00 million in outstanding shares. This buyback authorization authorizes the company to purchase up to 4.1% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's leadership believes its shares are undervalued.

Institutional Investors Weigh In On Flagstar Bank, National Association

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Geode Capital Management LLC raised its position in shares of Flagstar Bank, National Association by 6.7% during the 4th quarter. Geode Capital Management LLC now owns 7,487,034 shares of the company's stock valued at $94,277,000 after purchasing an additional 467,053 shares during the period. Dimensional Fund Advisors LP boosted its stake in shares of Flagstar Bank, National Association by 9.2% in the first quarter. Dimensional Fund Advisors LP now owns 6,731,631 shares of the company's stock worth $88,645,000 after acquiring an additional 569,003 shares during the period. Alliancebernstein L.P. boosted its stake in shares of Flagstar Bank, National Association by 1,130.1% in the second quarter. Alliancebernstein L.P. now owns 6,635,962 shares of the company's stock worth $70,341,000 after acquiring an additional 6,096,512 shares during the period. California State Teachers Retirement System grew its position in shares of Flagstar Bank, National Association by 1,338.7% during the second quarter. California State Teachers Retirement System now owns 5,358,694 shares of the company's stock worth $80,059,000 after purchasing an additional 4,986,233 shares in the last quarter. Finally, Goldman Sachs Group Inc. raised its stake in Flagstar Bank, National Association by 60.9% during the 4th quarter. Goldman Sachs Group Inc. now owns 4,626,146 shares of the company's stock valued at $58,243,000 after purchasing an additional 1,750,889 shares during the period. Institutional investors own 67.88% of the company's stock.

Flagstar Bank, National Association Company Profile

Flagstar Financial Corporation NYSE: FLG is a bank holding company whose principal subsidiary, Flagstar Bank, provides a range of financial services across the United States. Headquartered in Troy, Michigan, Flagstar combines commercial banking, mortgage lending and servicing, and deposit products to serve individuals, businesses and public entities. As a publicly traded company, Flagstar leverages its banking charter and national mortgage platform to deliver tailored financial solutions through both digital and branch channels.

The company's mortgage business is one of the largest residential originators and servicers in the nation, offering retail, wholesale and correspondent lending channels.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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