Key Takeaways
- Flagstar Bank (FLG) reported a quarterly loss per share of $0.07, wider than the Zacks Consensus Estimate of a $0.06 loss.
- The bank’s revenue for the September 2025 quarter was $519 million, exceeding the Zacks Consensus Estimate by 0.97%.
- Flagstar Bank shares have seen a year-to-date increase of approximately 23.9%, outperforming the S&P 500’s 14.6% gain.
- The company currently holds a Zacks Rank #3 (Hold), suggesting expectations for market-in-line performance.
Flagstar Bank Reports Quarterly Results
Flagstar Bank (FLG) recently announced its quarterly financial results, reporting a loss of $0.07 per share. This figure was below the Zacks Consensus Estimate, which had predicted a loss of $0.06 per share. For comparison, the bank posted a loss of $0.69 per share in the same quarter a year ago. These results are adjusted for non-recurring items.
📊 This quarterly report represents an earnings surprise of -16.67%. In the previous quarter, Flagstar Bank was expected to report a loss of $0.12 per share but actually delivered a loss of $0.14 per share, also marking a -16.67% surprise.
Over the past four quarters, Flagstar Bank has surpassed the consensus Earnings Per Share (EPS) estimates on two occasions.
Revenue Performance and Future Outlook
In the quarter ending September 2025, Flagstar Bank, a component of the Zacks Banks – Northeast industry, generated revenues of $519 million. This figure exceeded the Zacks Consensus Estimate by 0.97%. In the prior year, the company’s revenue for the same period was $623 million. Over the last four quarters, the company has met or exceeded consensus revenue estimates twice.
⚡ The immediate sustainability of the stock’s price movement, particularly in light of recent financial figures and future earnings projections, will largely hinge on the commentary provided by management during the upcoming earnings call.
✅ Flagstar Bank shares have experienced a notable increase of approximately 23.9% since the beginning of the year, significantly outpacing the S&P 500’s gain of 14.6% over the same period.
Analyzing Flagstar Bank’s Next Steps
Despite Flagstar Bank’s strong year-to-date market outperformance, a key question for investors is the stock’s future trajectory. While there are no simple answers, examining the company’s earnings outlook provides a valuable perspective for investors.
📍 This outlook encompasses not only the current consensus earnings expectations for upcoming quarters but also the recent trend in how these expectations have been revised.
📈 Empirical research indicates a strong correlation between short-term stock price movements and shifts in earnings estimate revisions. Investors can monitor these revisions directly or utilize established rating tools like the Zacks Rank, which is known for effectively leveraging the power of earnings estimate revisions.
Current Zacks Rank and Industry Position
💡 Ahead of this earnings release, the trend in estimate revisions for Flagstar Bank was mixed. While the specific direction and magnitude of these revisions may evolve following the company’s latest earnings report, the current standing results in a Zacks Rank #3 (Hold) for the stock. This suggests that the shares are anticipated to perform in line with the broader market in the near term.
The current consensus EPS estimate for the upcoming quarter stands at $0.04, with projected revenues of $543.79 million. For the current fiscal year, the consensus EPS estimate is -$0.39 on revenues of $2.04 billion.
📌 Investors should also consider the significant impact that industry outlook can have on a stock’s performance. The Banks – Northeast industry, within which Flagstar Bank operates, is currently positioned in the top 18% of over 250 Zacks industries. Research demonstrates that the top 50% of Zacks-ranked industries historically outperform the bottom 50% by a ratio exceeding 2:1.
Comparison with Industry Peers
Another company within the same industry, First Mid Bancshares (FMBH), has not yet reported its results for the quarter ending September 2025. The consensus expectation for First Mid Bancshares’ upcoming quarterly earnings is $0.96 per share, reflecting a year-over-year increase of +15.7%. Over the past 30 days, the consensus EPS estimate for this quarter has been revised upward by 0.9%.
Revenue expectations for First Mid Bancshares are $87.95 million, indicating an anticipated increase of 9.2% compared to the year-ago quarter.
Expert Summary
Flagstar Bank (FLG) reported a wider-than-expected loss per share in its recent quarterly announcement, though revenues surpassed analyst estimates. The stock has outperformed the S&P 500 year-to-date, but its current Zacks Rank of #3 (Hold) indicates expectations for market-level performance ahead.