Washington Federal (WAFD) has disclosed a new risk, in the Debt & Financing category.
Washington Federal faces a noteworthy financial challenge due to its decision to classify a segment of its LBC multi-family loan portfolio as held-for-sale. The company’s financial performance and earnings per share may suffer if it encounters difficulties in selling these loans, a process fraught with contingencies such as buyer due diligence and the need for definitive agreements. External market conditions, such as fluctuating interest rates, economic downturns, or a weakening real estate market, could further impede the transaction. Should the sale falter, experience significant delays, or fetch a price below expectations, Washington Federal’s anticipated financial benefits could be compromised, potentially harming its revenue, operational results, and common stock value.
The average WAFD stock price target is $32.00, implying 12.48% upside potential.
To learn more about Washington Federal’s risk factors, click here.
