Is New York Community Bancorp Stock a Buy?
New York Community Bancorp (NYSE: NYCB) has had a rough go of it since announcing earnings on Jan. 31, when it reported a surprising loss after taking significant charge-offs related to a couple of loans in its portfolio. The regional bank has faced more turmoil, announcing last week that it wouldn't file its annual report on time due to deficiencies in internal controls. The bank is down significantly, but is it cheap enough to make the bank a buy? Here's what investors should know before diving in.
New York Community Bancorp is the parent company of two banks -- New York Community Bank and Flagstar Bank -- and its $116 billlion in assets at the end of the fourth quarter makes it the 28th largest bank in the U.S.
Last month, the bank plummeted 38% in the days following its earnings, the largest single-day decline ever. The bank surprised investors when it reported net charge-offs in Q4 of $185 million, primarily from two loans, which was up from $24 million in the third quarter.
Source Fool.com
