Liberty 77 Capital L.P. Makes New $871.50 Million Investment in Flagstar Financial, Inc. $FLG

Key Points

• Liberty 77 Capital L.P. has acquired a new stake in Flagstar Financial, purchasing approximately 75 million shares valued at around $871.5 million, making it the largest holding in their portfolio.
• Multiple institutional investors also entered new stakes in Flagstar Financial, with 67.88% of the company's stock now owned by institutional investors and hedge funds.
• Flagstar Financial recently announced a quarterly dividend of $0.01 per share, with a yield of 0.3%, set to be paid on September 17th.

Liberty 77 Capital L.P. bought a new stake in Flagstar Financial, Inc. (NYSE:FLG - Free Report) during the first quarter, according to its most recent disclosure with the SEC. The institutional investor bought 74,999,994 shares of the company's stock, valued at approximately $871,500,000. Flagstar Financial accounts for about 77.4% of Liberty 77 Capital L.P.'s investment portfolio, making the stock its biggest holding. Liberty 77 Capital L.P. owned approximately 18.07% of Flagstar Financial as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently modified their holdings of the company. Bayforest Capital Ltd bought a new stake in shares of Flagstar Financial in the 1st quarter valued at about $97,000. HB Wealth Management LLC bought a new stake in shares of Flagstar Financial in the 1st quarter valued at about $119,000. Atlas Capital Advisors Inc. bought a new stake in shares of Flagstar Financial in the 1st quarter valued at about $122,000. Keynote Financial Services LLC bought a new stake in shares of Flagstar Financial in the 1st quarter valued at about $122,000. Finally, Princeton Capital Management LLC bought a new stake in shares of Flagstar Financial in the 1st quarter valued at about $128,000. 67.88% of the stock is owned by institutional investors.

Flagstar Financial Stock Performance

NYSE:FLG traded down $0.19 during mid-day trading on Thursday, reaching $11.81. 5,275,531 shares of the company's stock were exchanged, compared to its average volume of 6,414,019. Flagstar Financial, Inc. has a one year low of $8.56 and a one year high of $13.35. The firm has a market capitalization of $4.91 billion, a PE ratio of -7.16 and a beta of 1.11. The business's fifty day simple moving average is $11.43 and its two-hundred day simple moving average is $11.63. The company has a debt-to-equity ratio of 1.74, a quick ratio of 1.02 and a current ratio of 1.02.

Flagstar Financial (NYSE:FLG - Get Free Report) last posted its quarterly earnings data on Friday, July 25th. The company reported ($0.14) earnings per share for the quarter, missing the consensus estimate of ($0.12) by ($0.02). Flagstar Financial had a negative return on equity of 6.60% and a negative net margin of 10.83%.The firm had revenue of $496.00 million for the quarter, compared to the consensus estimate of $524.33 million. The firm's revenue for the quarter was down 26.1% compared to the same quarter last year. Analysts anticipate that Flagstar Financial, Inc. will post -0.31 earnings per share for the current fiscal year.

Flagstar Financial Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 17th. Investors of record on Sunday, September 7th will be given a dividend of $0.01 per share. The ex-dividend date of this dividend is Friday, September 5th. This represents a $0.04 annualized dividend and a yield of 0.3%. Flagstar Financial's dividend payout ratio is currently -2.42%.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the stock. Stephens reaffirmed an "equal weight" rating and issued a $12.50 target price on shares of Flagstar Financial in a report on Thursday, June 12th. DA Davidson reaffirmed a "buy" rating and set a $14.50 target price on shares of Flagstar Financial in a report on Thursday, June 26th. Jefferies Financial Group began coverage on shares of Flagstar Financial in a report on Wednesday, May 21st. They set a "buy" rating and a $15.00 target price for the company. Wall Street Zen downgraded shares of Flagstar Financial from a "hold" rating to a "sell" rating in a report on Thursday, May 22nd. Finally, Citigroup lifted their target price on shares of Flagstar Financial from $15.00 to $15.50 and gave the stock a "buy" rating in a report on Thursday, May 15th. Four equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $13.22.

About Flagstar Financial

Flagstar Financial, Inc operates as the bank holding company for Flagstar Bank, N.A. that provides banking products and services in the United States. The company's deposit products include interest-bearing checking and money market, savings, non-interest-bearing, and retirement accounts, as well as certificates of deposit.