Replies to post #97026 on Savvy Trades and Investments

[SSKILLZ1]

NYCB (FBC)

Yes the quarter wasn't great, but on the call NYCB said it will be accretive to NYCB shareholder when deal is done even with these changes. Furthermore, FBC explained the quarter well they are in a transition quarter. In a sense that mortgage revenue went waaaaaaaaaaaaay down as expected, but the benefit of higher interest rates has yet to kick in until late in the quarter, Hence profits should jump right significantly from q1 levels. Yet they were never gonna earn 2021 profits, that wasn't sustainable. But say a $5.50-6.00 annualized eps levels rate should be expected from q2 on. and with synergies this will still be waaaaaaaaaaaaaaaaay accretive to NYCB which at the end of day is all that matter in my opinion. All is just my opinion, and I could always be wrong though.

[researcher59]

KIK - NYCB, good catch on the big earnings miss by FBC whose shareholders will represent 32% of the combined entity.

briefing - 7/27 am

Flagstar Bancorp misses by $0.31 (38.38 ) :

Reports Q1 (Mar) earnings of $1.02 per share, excluding non-recurring items, $0.31 worse than the S&P Capital IQ Consensus of $1.33.
Net interest income in the first quarter was $165 million, a decrease of $16 million, or 9 percent, as compared to the fourth quarter 2021. The results primarily reflect a $2.7 billion, or 11 percent, net decrease in average earning assets primarily from mortgage loans held-for-sale and warehouse loans due to seasonality and a smaller mortgage origination market. These decreases were partially offset by growth in commercial and industrial loans.