Flagstar Bank, National Association (NYSE:FLG) Posts Earnings Results, Misses Estimates By $0.06 EPS

Posted by Brenda Bartman on Oct 23rd, 2026

Flagstar Bank, National Association (NYSE:FLG – Get Free Report) posted its quarterly earnings results on Friday. The company reported $0.01 earnings per share for the quarter, missing the consensus estimate of $0.07 by ($0.06), FiscalAI reports. The company had revenue of $530.00 million for the quarter, compared to the consensus estimate of $545.12 million. Flagstar Bank, National Association had a net margin of 1.08% and a return on equity of 0.98%. During the same quarter in the previous year, the company posted ($0.07) EPS.

Here are the key takeaways from Flagstar Bank, National Association’s conference call:

Turnaround timing was pushed to 2028 from 2027, reflecting higher-for-longer interest rates, weaker deposit and mortgage growth, and slower credit improvement. Management now forecasts EPS of $0.10–$0.15 for 2026 and $0.85–$0.95 for 2027, with $1.60–$1.70 expected in 2028.
Credit costs increased as higher rates, inflation, and New York City rent regulations pressured the rent-regulated multifamily portfolio. Provision expense rose to $76 million, criticized and classified loans increased 6% to approximately $11.4 billion, and nonaccrual loans remained elevated at about $2.8 billion.
Balance-sheet diversification continued, with $2 billion of net C&I loan growth to $20.6 billion and roughly $600 million of related commercial deposit growth. CRE par payoffs totaled $1.2 billion, supporting management’s plan to reduce CRE exposure while expanding relationship-based commercial lending.
Net interest margin expanded 4 basis points sequentially to 2.17%, while September NIM reached 2.23%; management expects contractual repricing of roughly $12 billion of low-coupon CRE loans through 2027 to support future NII and NIM growth. CET1 capital remained strong at 12.38%, although the company does not expect to resume share repurchases until 2027.

Flagstar Bank, National Association Stock Performance

FLG traded down $0.97 during trading hours on Friday, hitting $10.46. The stock had a trading volume of 6,542,861 shares, compared to its average volume of 5,000,431. Flagstar Bank, National Association has a 1 year low of $10.30 and a 1 year high of $15.44. The company’s fifty day simple moving average is $12.53 and its 200 day simple moving average is $13.69. The stock has a market cap of $4.34 billion, a PE ratio of 348.83 and a beta of 1.05. The company has a quick ratio of 0.90, a current ratio of 0.90 and a debt-to-equity ratio of 1.43.

Flagstar Bank, National Association announced that its Board of Directors has authorized a stock repurchase program on Friday, July 24th that permits the company to repurchase $250.00 million in outstanding shares. This repurchase authorization permits the company to buy up to 4.1% of its stock through open market purchases. Share repurchase programs are generally an indication that the company’s leadership believes its shares are undervalued.

Analyst Upgrades and Downgrades

Several analysts have commented on the stock. Barclays lowered their price objective on shares of Flagstar Bank, National Association from $17.00 to $15.00 and set an “overweight” rating on the stock in a research report on Monday, October 5th. Truist Financial reduced their target price on shares of Flagstar Bank, National Association from $17.00 to $15.00 and set a “buy” rating for the company in a research report on Friday, October 9th. Wall Street Zen lowered shares of Flagstar Bank, National Association from a “hold” rating to a “sell” rating in a research note on Saturday, September 26th. Morgan Stanley decreased their price target on shares of Flagstar Bank, National Association from $17.00 to $16.00 and set an “overweight” rating for the company in a research note on Monday, September 28th. Finally, TD Cowen lowered their price target on shares of Flagstar Bank, National Association from $17.00 to $16.00 and set a “buy” rating on the stock in a report on Monday, October 5th. Ten equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $15.96.

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About Flagstar Bank, National Association

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Flagstar Bank, National Association is a full-service regional bank and the principal banking subsidiary of Flagstar Financial, Inc, formerly known as New York Community Bancorp. The bank provides consumer and business banking services through deposits, checking and savings accounts, lending, cash management, and digital banking channels.

Flagstar’s lending activities include residential mortgages, mortgage servicing, commercial real estate loans, multifamily financing, commercial and industrial loans, and other consumer credit products.