Flagstar Bank Upgraded to Buy at Truist Financial

Analysts boost price target on growing mortgage lender's stock.

Apr. 10, 2026 at 6:06am

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An extreme close-up of various metal gears, levers, and mechanisms, conveying the heavy, industrial nature of banking infrastructure without using literal currency or financial symbols.Flagstar Bank's robust mortgage lending and servicing operations underpin its growing presence in the U.S. financial landscape.Troy Today

Truist Financial has upgraded shares of Flagstar Bank, National Association (NYSE:FLG) from a hold rating to a buy rating, raising the price target from $13.50 to $17.00. The move comes as several analysts have issued positive reports on the Michigan-based bank's performance, citing its strength in mortgage lending and servicing.

Why it matters

Flagstar Bank has emerged as a major player in the U.S. mortgage market, ranking among the largest residential originators and servicers nationwide. The upgrade from Truist Financial signals growing confidence in the bank's ability to capitalize on the strong housing market and expand its lending business.

The details

In its research note, Truist Financial cited Flagstar's diverse business model, which combines commercial banking, mortgage lending, and deposit products. Other analysts have also issued positive assessments, with Citigroup raising its price target and Piper Sandler initiating coverage with an 'overweight' rating and $16.00 price target. The bank reported stronger-than-expected earnings in its most recent quarter, driven by growth in its mortgage operations.

  • Truist Financial upgraded Flagstar Bank on Tuesday, April 10, 2026.
  • Flagstar Bank reported Q4 2025 earnings on January 30, 2026.

The players

Flagstar Bank, National Association

A bank holding company and the principal subsidiary of Flagstar Financial Corporation, providing commercial banking, mortgage lending and servicing, and deposit products across the United States.

Truist Financial

A diversified financial services company that provides banking, insurance, and investment services to individual and commercial clients.

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What’s next

Flagstar Bank will report its next quarterly earnings in late July 2026, which will provide further insight into the company's financial performance and growth trajectory.

The takeaway

The upgrade from Truist Financial and positive assessments from other analysts highlight Flagstar Bank's position as a rising force in the U.S. mortgage market, driven by its diversified business model and strong lending operations.