East West Bancorp, Inc. (EWBC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

SouthState Corp.

East West Bancorp, Inc.

First Citizens BancShares, Inc. (North Carolina)

Truist Financial Corp.

Fifth Third Bancorp

Commerce Bancshares, Inc. (Missouri)

M&T Bank Corp.

Cullen/Frost Bankers, Inc.

Fiserv, Inc.

Ally Financial, Inc.

First Horizon Corp. (Tennessee)

Why is East West Bancorp, Inc. ?

High Profitability with a Net Interest Margin of 13.19%

Strong Long Term Fundamental Strength with a 18.15% CAGR growth in Net Profits

Positive results in Dec 25

DIVIDEND PER SHARE(HY) Highest at USD 0
OPERATING PROFIT MARGIN(Q) Highest at 42.85 %
PRE-TAX PROFIT(Q) Highest at USD 466.95 MM

With ROA of 1.02%, it has a attractive valuation with a 1.96 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 18.91%, its profits have risen by 8.4% ; the PEG ratio of the company is 1.5

High Institutional Holdings at 95.63%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to East West Bancorp, Inc. should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Regional Banks)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is East West Bancorp, Inc. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

East West Bancorp, Inc.

20.12%

1.47

34.40%

S&P 500

17.45%

0.90

19.38%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.90%

EBIT Growth (5y)

20.50%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

25.21%

Pledged Shares

Institutional Holding

95.63%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.96

EV to EBIT

9.81

EV to EBITDA

8.35

EV to Capital Employed

2.59

EV to Sales

3.04

PEG Ratio

1.53

Dividend Yield

0.52%

ROCE (Latest)

26.44%

ROE (Latest)

14.54%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 0

OPERATING PROFIT MARGIN(Q)

Highest at 42.85 %

PRE-TAX PROFIT(Q)

Highest at USD 466.95 MM

CASH AND EQV(HY)

Highest at USD 4,880.88 MM

-3What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 788.3 MM

Here's what is working for East West Bancorp, Inc.

Operating Profit Margin

Highest at 42.85 % and Grown

In each period in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 466.95 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Dividend per share

Highest at USD 0 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Cash and Eqv

Highest at USD 4,880.88 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for East West Bancorp, Inc.

Operating Cash Flow

Lowest at USD 788.3 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)