flagstar financial reports shareholder meeting results

Published 06/06/2025, 17:34
flagstar financial reports shareholder meeting results

Flagstar Financial, Inc. (NYSE:FLG), a $4.88 billion financial services company whose stock has gained nearly 25% year-to-date, held its annual shareholder meeting on Wednesday. According to InvestingPro data, the company currently shows weak financial health metrics, though analysts maintain price targets ranging from $12.50 to $15.50. The meeting took place virtually via webcast, with shareholders considering several significant matters.

According to the company’s SEC filing, shareholders elected three directors for three-year terms. Brian R. Callanan received 291,077,900 votes in favor, while 2,330,748 voted against, and 549,286 abstained. Marshall Lux garnered 267,303,804 votes in favor, with 25,680,310 against and 973,820 abstentions. Allen C. Puwalski secured 289,297,028 votes for his election, with 4,101,350 against and 559,556 abstaining. There were also 68,918,853 broker non-votes on this proposal. These elections come at a crucial time as the company faces profitability challenges, with InvestingPro data showing negative earnings per share of $2.48 over the last twelve months.

Additionally, the appointment of KPMG LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025, was ratified. The proposal received 359,120,362 votes in favor, 3,112,618 against, and 643,807 abstentions, with no broker non-votes.

Shareholders also voted on a non-binding advisory basis regarding the compensation of the company’s named executive officers. The results showed 260,494,962 votes in favor, 32,107,185 against, and 1,355,787 abstentions, along with 68,918,853 broker non-votes.

The meeting’s quorum was established with 362,876,787 shares represented, either in person or by proxy, out of 415,074,297 outstanding shares eligible to vote as of April 7, 2025.

This information is based on a press release statement from Flagstar Financial’s SEC filing. For deeper insights into Flagstar Financial’s performance metrics and future outlook, investors can access comprehensive analysis through InvestingPro’s detailed research reports, which include additional financial health indicators and expert analysis among 1,400+ top US stocks.

In other recent news, Flagstar Bank has reported its first-quarter 2025 earnings, showing a narrower-than-expected loss. The bank posted an adjusted net loss of $0.23 per share, better than the analysts’ projection of a $0.28 loss, although revenue was slightly below expectations at $490 million. Analyst firms have responded positively to Flagstar’s strategic moves, with Jefferies initiating a Buy rating and a price target of $15, citing improvements in credit quality and operational efficiency. DA Davidson also maintained its Buy rating with a $14.50 target, expressing confidence in the bank’s path to profitability by the end of 2025.

Citi has raised its price target for Flagstar Bank to $15.50, acknowledging the bank’s recent legal actions aimed at improving loan repayment. Flagstar’s ongoing legal strategy includes a motion for a court-ordered receiver against Pinnacle Group, impacting loans valued at over $600 million. These legal steps are part of Flagstar’s broader efforts to address credit issues, with the current principal balance of these loans standing at approximately $590 million.

The bank’s management has shared plans to shift from a defensive to a more aggressive strategy, focusing on expanding profit margins and commercial and industrial loans. As part of these efforts, Flagstar aims to reduce its exposure to the multifamily loan sector and optimize its expense base. Overall, these developments suggest a positive outlook for Flagstar Bank as it continues to navigate a challenging financial landscape.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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