NFBK - Northfield Bancorp's New York Presence And Multifamily Portfolio To Raise Credit Quality Worries
Earnings of Northfield Bancorp, Inc. (NFBK) will likely plunge this year due to a surge in provisions expenses on the back of worsening credit quality. The company operates in New York State, which is the epicenter of the COVID-19 pandemic; hence, NFBK's credit quality is likely to be hit worse than peer banks in other regions. Moreover, the net interest margin will likely dip slightly this year following the interest rate cuts. However, the long duration of the multifamily portfolio will mitigate the impact of declining interest rates on average yield. Furthermore, the