Stormy Seas for BankAtlantic
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The recent action in BankAtlantic Bancorp (BBX Quote) suggests investors expect Florida's real estate crash to bring the bank down.
Shares fell 13% Monday, adding to the misery of Friday's 38% selloff. The stock has lost half its value in two weeks, trading at just above $4 in early action Monday, and is down 70% for the year.
Why? Because the Fort Lauderdale-based company has made some outsized bets on commercial real estate in its home state, and those bets are starting to go bad at a disturbing clip. The company stunned Wall Street last Thursday by posting a $30 million third-quarter loss, as nonperforming assets quadrupled from second-quarter levels to $184 million. ...
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