Axos Financial Shares Plummet After Hindenburg Short Position Announcement
Hindenburg Research criticizes Axos Financial for its significant exposure to risky commercial real estate loans, leading to a sharp decline in the bank's stock.
- Hindenburg Research disclosed a short position in Axos Financial, citing risky commercial real estate exposure.
- Axos Financial's stock fell up to 16% following the report, marking its steepest intraday decline in over four years.
- The short seller alleges Axos has lax underwriting standards and a high proportion of problem loans.
- Axos contends the report is misleading and highlights its senior loan positions and low loan-to-value ratios.
- Axos' stock valuation remains at a premium compared to peers despite its high-risk loan portfolio.
Reuters 
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