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Why Eagle Bancorp (EGBN) Is Plunging in 2025?

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We recently published a list of Why These 15 Bank Stocks Are Plunging In 2025. In this article, we are going to take a look at where Eagle Bancorp, Inc. (NASDAQ:EGBN) stands against other bank stocks that have been plunging in 2025.

Bank stocks are at a crossroads this year as we may finally see the Federal Reserve lower interest rates more. The Trump administration’s pressures will compound with the recent lower inflation report and the negative stock market performance, and this could impact banking companies significantly.

Despite the Fed’s “higher for longer” rate posture, inverted yield curves have compressed net interest margins while geopolitical tensions freeze cross-border capital flows. The result has been a bifurcated landscape where universal banks like JPMorgan have thrived on diversification, whereas mono-line lenders have buckled under stress.

The yield curve is no longer inverted, but recent tariff-related shocks and general uncertainty in the economy have brought on even more pain. It’s worth looking into the banks that are the worst caught in these crosscurrents if you’re looking to scoop up some value stocks.

Methodology

For this article, I screened the worst-performing bank stocks year-to-date.

I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

A smiling customer holding a newly acquired loan product, signifying the company's consumer lending arm success.

Eagle Bancorp, Inc. (NASDAQ:EGBN)

Number of Hedge Fund Holders In Q4 2024: 27

Eagle Bancorp, Inc. (NASDAQ:EGBN) operates as the bank holding company for EagleBank. It provides commercial and consumer banking services.

The stock is down significantly so far in 2025 as the company’s commercial real estate exposure has caused problems.

In Q4 2024, a $74.9 million office loan moved to non-accrual status following a new appraisal.

This contributed to increased nonperforming loans and higher provisions for credit losses.

Nonperforming assets rose to $211.5 million at the end of December 2024, up $74.3 million from the prior quarter.

Also, its net income of $15.3 million for Q4 2024 is down from $21.8 million in Q3 2024.

The consensus price target of $28.75 implies 38.62% upside.