The EPS miss and revenue shortfall are offset by the $250M buyback and strong CI loan growth. Watch for execution on the buyback pace and whether non-accrual loan trends stabilize in Q3. The 2026 EPS guidance range of $0.40-$0.50 implies significant H2 improvement — monitor for any signs of slippage.
Price Chart
Executive Summary
Flagstar Bank reported Q2 2026 GAAP EPS of $0.06 (adjusted $0.05), missing the $0.07 consensus, while revenue of $516M missed the $542.7M estimate. The bank announced a $250M share repurchase program and provided 2026 adjusted EPS guidance of $0.40-$0.50, signaling confidence in its turnaround despite a sequential increase in non-accrual loans and charge-offs.
Key Financial Metrics
Key Facts
- GAAP EPS $0.06 vs consensus $0.07 (miss); adjusted EPS $0.05 vs consensus $0.07 (miss)
- Revenue $516M vs consensus $542.7M (miss)
- Announced $250M share repurchase program over 12 months
- 2026 adjusted EPS guidance $0.40-$0.50; 2027 EPS guidance $1.60-$1.70
- CI loans grew $2.0B or 12% QoQ to $18.6B; first quarter of total loan growth since Q4 2023
- Non-accrual loans rose $123M or 5% QoQ to $2.8B; NCOs to avg loans 0.66% vs 0.52% prior quarter
- CET1 ratio 13.16%; excess capital of $1.6B above 10.5% target
- Adjusted PPNR $62M, up 51% QoQ; operating expenses down 3% QoQ
Financial Impact
EPS miss of ~$0.01-$0.02 vs consensus; $250M buyback (4.1% of market cap); 2026 adjusted EPS guidance $0.40-$0.50 vs consensus ~$0.24
Risk Factors
- Non-accrual loans rising 5% QoQ to $2.8B; multi-family and CRE NALs increased
- NCO ratio increased to 0.66% from 0.52%; $100M in NCOs including $47M previously reserved
- Provision for credit losses swung to $18M from $0 in prior quarter
- Net interest margin compressed 2bps to 2.13%; net interest income down 1% QoQ
- NYC rent-regulated multi-family exposure remains elevated at $8.5B with 3.04% ALLL
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 8 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0000910073-26-000065 |
| Document: flg_2q26xearningsxpresen.htm | 0000910073-26-000065 |
| Document: nycb-20260724.htm | 0000910073-26-000065 |
| Document: flagstar-sharerepurchase.htm | 0000910073-26-000065 |
| Document: 0000910073-26-000065-index-headers.html | 0000910073-26-000065 |
| Document: 0000910073-26-000065-index.html | 0000910073-26-000065 |
| Document: 0000910073-26-000065.txt | 0000910073-26-000065 |
| 8-K Data (Synthetic) | 0000910073-26-000065 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Jul 24, 2026 10w ago | 8-K | $13.85 $13.47 | ▼ −2.74% | ▼ −6.37% | $11.70 (−15.52%) |
Jul 24, 2026 10w ago | Press Release | $13.85 $13.47 | ▼ −2.74% | ▼ −6.37% | $11.70 (−15.52%) |
Jun 11, 2026 16w ago | 8-K | $14.94 $15.09 | ▲ +1.00% | ▼ −0.78% | $11.70 (−21.69%) |
May 22, 2026 19w ago | DEFA14A | $41.47 $40.95 | ▼ −1.25% | ▲ +0.16% | $11.70 (−71.79%) |
May 18, 2026 19w ago | 8-K | $41.00 $40.97 | ▼ −0.09% | ▼ −1.07% | $11.70 (−71.46%) |
Apr 30, 2026 22w ago | DEFA14A | $40.51 $41.13 | ▲ +1.53% | ▼ −3.44% | $11.70 (−71.12%) |
Apr 24, 2026 23w ago | 8-K | $40.55 $41.43 | ▲ +2.17% | ▼ −1.86% | $11.70 (−71.15%) |
Feb 27, 2026 31w ago | Court Ruling | $12.68 $13.05 | ▲ +2.92% | ▲ +10.47% | $11.70 (−7.73%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Try SecBot Free Coming soon: SecBot Pro with alerts, watchlists, and API access