Assessing First BanCorp (FBP) Valuation As Labor Shortages Raise Credit And Operational Risks

First BanCorp (FBP) is facing increased scrutiny from investors due to labor shortages reported in Puerto Rico and other markets, which are raising concerns about the company’s credit and operational risks. Despite recent share price declines, FBP’s long-term shareholder returns remain strong. Analysts view the company as 12% undervalued, with a fair value of $24.00, suggesting a potential reset opportunity driven by anticipated improvements in net interest margin.