OFG Bancorp (OFG) has disclosed a new risk, in the Debt & Financing category.
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OFG Bancorp faces a significant business risk if the U.S. government’s credit rating is downgraded or if a default occurs due to legislative stalemates over raising the debt ceiling. Such political conflicts have the potential to trigger a recession and affect the liquidity of OFG’s investments in government securities. The precedent set by the 2011 U.S. credit rating downgrade by Standard & Poor’s underscores the potential severity of current political disputes on OFG’s financial stability. A recurrence could materially impact OFG’s operations and the broader financial markets, both domestically and globally.
Overall, Wall Street has a Strong Buy consensus rating on OFG stock based on 3 Buys.
To learn more about OFG Bancorp’s risk factors, click here.
