From CNBC:

Regional lender New York Community Bank is facing challenges as its shares plunged 25% to below $4 apiece after restating earnings lower by $2.4 billion, replacing its CEO, and delaying key reports due to “material weaknesses” in loan oversight. Analysts express concern and point out a worrying trajectory for the bank.

A disastrous fourth-quarter report led Moody’s to cut NYCB’s credit ratings two notches to junk, resulting in a series of worrying events for the bank. Despite efforts to shore up capital and boost confidence in management, concerns remain about deposit stability as corporate treasurers may reconsider holding deposits in the bank.

The pressure on NYCB’s operations and profitability amid elevated interest rates has raised questions about potential partnerships or acquisitions. Analysts note the bank’s vulnerability due to its stock trading below $5 a share. Despite uncertainties, NYCB is dealing with the challenges and maintaining confidence in executing a turnaround plan.



Read more: Wall Street worries about NYCB’s loan losses and deposit levels