Dividend-focused bank investors will be paying attention this evening to the first round of the Fed's annual stress tests on the largest U.S. financial institutions; they already paused buybacks for the quarter. Complicating things, the Fed this year will not outrightly "pass" or "fail" banks, making the results even more ambiguous for analysts and investors trying to calculate the health of the industry. The Fed also is expected to provide guidance on how banks would fare if the coronavirus crisis worsens. (FT)
CEC Entertainment, the parent of Chuck E. Cheese and Peter Piper Pizza, has filed for Chapter 11 after the COVID-19 pandemic closed its locations and kept families at home. The current crisis was described as the "most challenging" in the company's history and it intends to use the bankruptcy process to continue talks with stakeholders and landlords to restructure its balance sheet. (CNBC)
German payments company and fintech darling Wirecard has filed for bankruptcy, a week after auditors found a $2B hole in its balance sheet and an admission by the company that the money may never have existed. Shares were suspended from trading before the announcement, but have fallen nearly 90%, wiping out almost $12B of market value since the disclosure last week. CEO Markus Braun was also arrested on suspicion of falsifying accounts at the company, which processes tens of billions of euros in credit and debit transactions every year. (SA)
With Northwest Quadrant Wealth Management, a Registered Investment Advisor I am Josh Fenili.