Troubled New York Community Bancorp (NYSE: NYCB) is reportedly scrambling to raise equity capital, and investors are scrambling for the exits. Shares of New York Community traded down 41% as of 12:45 p.m. ET as the bank's already cloudy future grew murkier by the hour.

It has been a rough start to 2024 for New York Community. The bank reported an unexpected loss in late January and slashed its dividend, part of what it called "decisive actions to build capital."

The news has only gotten worse in the days since. Last week, New York Community ousted its CEO and said it has discovered issues in the way it tracks loan risk. The weakness is "related to internal loan review, resulting from ineffective oversight, risk assessment and monitoring activities," NYCB said in a regulatory filing.

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Source Fool.com