FBK - FB Financial -8.0% after JPMorgan bails due to looming headwinds

FB Financial (FBK) shares drop 8.0% after JPMorgan analyst Alex Lau downgrades the stock to Underweight, viewing FBK's Q3 beat due to strong mortgage banking results as "more headline than run-rate."In other words, that's not likely to continue.After two quarters of an "outsized contribution" to pretax pre-provision income from mortgage banking and "as the tailwind from mortgage fades over time and is eventually replaced with a headwind, the company is likely to see outsized downward pressure on PTPP income."The company does stand to benefit from net interest margin improvement with remix of its balance sheet as higher cost funding runs off or is repriced lower and PPP loans are forgiven and from cost savings achieved from its recent acquisition of Franklin, Lau writes."However, we don’t believe that these are enough to offset the upcoming pressure on PTPP income."Lau expects FBK's core PTPP income to fall 13% in 2021 and 11% in

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FB Financial -8.0% after JPMorgan bails due to looming headwinds