- East West Bancorp reported a net interest margin of 3.34%, falling below the estimated 3.42%
- EPS was reported at $2.03, above the estimated $2.00
- The Common equity Tier 1 ratio came in at 13.5%, slightly above the estimated 13.4%
- Adjusted EPS was reported at $2.08, beating the estimate of $2.00
- Provision for credit losses was less than expected at $25.0 million, versus the estimate of $34.9 million
- Total revenue for 1Q was $644.1 million, which surpassed the estimated $637.7 million
- The efficiency ratio was however, slightly higher than estimated at 38.3% against the estimated 37.6%
- The reported net interest income was $565.1 million, slightly surpassing the estimate of $564 million
- Non-interest income was reported at $79 million, higher than the estimated $76.6 million
- The effective tax rate was slightly higher at 23.4%, as against the estimated 23.1%
- Among analysts, East West Bancorp received 16 buys, 1 hold and 0 sell ratings
A look at East West Bancorp Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
East West Bancorp, Inc., the parent company of East-West Bank, is positioned for a bright future based on its Smartkarma Smart Scores. With strong ratings in key areas such as Value, Growth, and Momentum, the company appears to have a promising long-term outlook. A high Value score indicates that East West Bancorp may be trading at an attractive valuation, while a solid Growth score suggests potential for future expansion and profitability. Furthermore, a strong Momentum score implies positive market sentiment and potential price appreciation in the future. These factors combined bode well for the company’s prospects.
Despite facing some challenges with slightly lower scores in Dividend and Resilience, East West Bancorp seems to be well-equipped to navigate through economic fluctuations while maintaining a focus on growth and value creation. The company’s specialization in commercial lending, real estate financing, and international trade positions it strategically in key markets such as Los Angeles, Orange, San Francisco, and Santa Clara counties. Overall, East West Bancorp‘s robust Smart Scores reflect a company with solid fundamentals and growth potential in its core business segments.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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