Added to YB: 2024-06-05
Pitch date: 2024-06-04
AX [bearish]
Axos Financial, Inc.
-68.32%
current return
Author Info
Company Info
Axos Financial, Inc., together with its subsidiaries, provides consumer and business banking products in the United States.
Market Cap
$3.9B
Pitch Price
$50.75
Price Target
N/A
Dividend
N/A
EV/EBITDA
N/A
P/E
9.46
EV/Sales
N/A
Sector
Banks
Category
value
Axos: Glaring Commercial Real Estate Loan Problems and Lax Underwriting Beneath This Priced-For-Perfection Bank
AX: Axos, $3.1B California bank, lent aggressively in CRE during pandemic. 53% of loans now in stressed office/multifamily markets like NYC (37.5%). Research shows risky borrowers (some with mob ties & criminal records), stalled projects, vacancies & potential concealment of problems via evergreening & questionable credit metrics vs peers. Estimates $1.1B CRE loans from low rate era coming due, $234M potential NPLs (12% of book). Sees major downside risk not priced in.
Read full article (30 min)