Two Blokes

First BanCorp: Bond Market Turbulence, Expected Tourism Slowdown Seems Priced-In

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    Posted by Two Blokes Apr 20 - Filed in Stock - 19 views
    I'm expecting loan growth to decelerate this year, as a possible recession in the mainland United States can hurt the tourism industry in Puerto Rico. Low-yielding securities are set to mature this year, which will provide First BanCorp a good opportunity to reinvest in higher-yielding assets, thereby raising the margin. I'm raising my provision expense estimate and, therefore, reducing my earnings estimate for 2025.