Why New York Community Bancorp Stock Is Falling Again Today
A day after New York Community Bancorp (NYSE: NYCB) outlined the consequences of its rapid expansion in 2023, Wall Street is chiming in with its own word of caution. New York Community shares are down 8% as of 2 p.m. ET Thursday, a day after the stock lost about one-third of its value.
New York Community Bancorp is a much larger company today than it was a year ago. In 2023, it first acquired Flagstar Bank to round out its commercial banking capabilities, and soon after that deal closed New York Community seized on the opportunity to acquire assets and liabilities of the failed Signature Bank from the Federal Deposit Insurance Corp.
On Wednesday, investors learned of the consequences of those moves. New York Community reported a surprise fourth-quarter loss, and announced plans to slash its dividend and take other "decisive actions to build capital." The growth has pushed New York Community over the $100 billion in total assets threshold, which means new regulatory requirements.
Source Fool.com
