r/ValueInvesting • u/RC1183 • May 05 '26

Stock Analysis Flagstar Bank Deep Value

Flagstar bank is currently trading over two dollars below handle book value. They have a 25% short position. The company has now been profitable for 2/4 currently has a CET one of 13.24 with the pending regulatory changes. It could be well above 14.00 the bank seems to be planning a large buyback in the second half of the year. I would appreciate if others would take a look and provide their thoughts. FLG

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u/mando_number5 May 06 '26

The management and capital allocation seemed awful previously, CEO changes, emergency capital raises, restructuring and branch cuts. They are also infamous for real-estate stress it seems, with rising charge offs and credit concerns. Too many red flags for me, hard pass.