Axos Financial Faces Market Turbulence
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Developments at 3:30 pm: Highlights Axos response and share update.
Axos Financial (NYSE:AX) experienced a 5% decline after Hindenburg Research’s short report on the bank.
Hindenburg Research disclosed a short position in Axos (AX).
From San Diego, Axos (AX) rebutted the report, criticizing it for containing “misleading, incomplete, and false allegations” related to the bank’s commercial real estate loan portfolio as per an 8-K filing.
In their filing, Axos stated, “This report contains a series of inaccuracies and innuendo that include false, incomplete and misleading allegedly factual information with respect to specific loans, incomplete or inaccurate descriptions of loan structures, failure to accurately describe the Axos lending counterparty, failure to mention guarantors or fund partners that provide significant support to the Axos credit position, as well as inaccurate discussions of loans that have already been repaid but not represented in the report as having been repaid.”
The short interest in Axos (AX) stands at 16% of its float.
