Ratings for East West Bancorp EWBC were provided by 6 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 3 | 1 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 1 | 0 | 0 | 0 |
| 2M Ago | 1 | 1 | 1 | 0 | 0 |
| 3M Ago | 1 | 0 | 0 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $87.5, a high estimate of $106.00, and a low estimate of $76.00. Marking an increase of 17.06%, the current average surpasses the previous average price target of $74.75.
Breaking Down Analyst Ratings: A Detailed Examination
The analysis of recent analyst actions sheds light on the perception of East West Bancorp by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Jared Shaw | Barclays | Announces | Overweight | $106.00 | - |
| Manan Gosalia | Morgan Stanley | Raises | Overweight | $89.00 | $76.00 |
| Ben Gerlinger | Citigroup | Lowers | Buy | $85.00 | $89.00 |
| Matthew Clark | Piper Sandler | Raises | Neutral | $76.00 | $72.00 |
| David Chiaverini | Wedbush | Maintains | Outperform | $86.00 | - |
| Brandon King | Truist Securities | Raises | Buy | $83.00 | $62.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to East West Bancorp. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of East West Bancorp compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for East West Bancorp's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of East West Bancorp's market standing. Stay informed and make data-driven decisions with our Ratings Table.
Stay up to date on East West Bancorp analyst ratings.
Unveiling the Story Behind East West Bancorp
East West Bancorp Inc is the holding company for East West Bank, a full-service commercial bank with cross-border operations concentrated in the United States and China. East-West Bank is one of a few U.S. based banks with a full banking license in China. The bank's cost strategy has increasingly focused on expanding its deposit base away from time deposits to commercial deposits. The bank has also taken part in entertainment partnerships between participants in China and Hollywood. Most of these efforts include financing the production and distribution of film and television projects. The bank leverages its cultural and regulatory knowledge in the U.S. and China to assist its customers in entering new markets. Most of its earning assets are in loans held for investment.
Breaking Down East West Bancorp's Financial Performance
Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.
Revenue Growth: East West Bancorp's revenue growth over a period of 3 months has faced challenges. As of 31 December, 2023, the company experienced a revenue decline of approximately -2.82%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Financials sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 37.14%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 3.53%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): East West Bancorp's ROA excels beyond industry benchmarks, reaching 0.35%. This signifies efficient management of assets and strong financial health.
Debt Management: East West Bancorp's debt-to-equity ratio surpasses industry norms, standing at 0.68. This suggests the company carries a substantial amount of debt, posing potential financial challenges.
How Are Analyst Ratings Determined?
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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