Why New York Community Bancorp Stock Is Up Today
New York Community Bancorp (NYSE: NYCB) has new leadership and $1.05 billion in new equity capital. Investors appear to believe the steps will be enough to save the floundering bank, sending shares up 11% as of 10 a.m. ET.
We are barely a year removed from the mini banking crisis that doomed Silicon Valley Bancorp, and investors in recent weeks have been worried another bank might be on the brink of failure. New York Community Bancorp shares have plummeted in the weeks since it slashed its dividend, reported an unexpected loss, and said that "decisive" actions were needed to build capital.
On Tuesday, the stock plunged on reports that the bank was scrambling to raise new capital. But now that the deal is done, investors appear to be taking a second look.
Source Fool.com
