10 Worst Performing Bank Stocks in 2024

5. First Northwest Bancorp (NASDAQ:FNWB)

Price: $10.80

Number of Hedge Fund Holders: 5

1-Year Price Performance: -23.78%

First Northwest Bancorp (NASDAQ:FNWB) is a bank holding company and a financial holding company that operates primarily through its subsidiary, First Fed Bank. It provides a range of banking services including commercial and consumer banking. Moreover, as a financial holding company it also engages in non-banking financial activities such as investment advisory services. The bank has over 16 locations throughout Washington state.

First Northwest Bancorp (NASDAQ:FNWB) has faced challenges in recent quarters due to elevated non-performing charges (NCOs) related to previously flagged loans and write-downs associated with FinTech equity investments. The company experienced an increase in nonperforming loans, which were $19.5 million as of March 31, 2024, and rose to $30.5 million by December 31, 2024. These increases were primarily due to specific commercial business loans and real estate-related issues. On February 3, Piper Sandler increased the price target for First Northwest Bancorp (NASDAQ:FNWB) from $11 to $12 while keeping a Neutral rating on the stock. The firm noted that the increase in non-performing loans can negatively impact the credit and profitability of the bank. However, Piper Sandler is optimistic that asset quality issues will moderate over time, potentially leading to better financial performance for the bank. It is one of the worst-performing bank stocks in 2024.