JPMorgan Chase & Co. Issues Pessimistic Forecast for Western Alliance Bancorporation (NYSE:WAL) Stock Price

Key Points

• JPMorgan cut Western Alliance Bancorporation’s price target from $93 to $90 while maintaining a “neutral” rating, implying approximately 21% upside from the stock’s $74.23 price.
• Analyst sentiment remains generally positive: 11 analysts rate the stock a Buy and five rate it a Hold, producing a “Moderate Buy” consensus and an average price target of $93.12.
• Western Alliance reported quarterly EPS of $2.36, matching estimates, while revenue of $995.7 million exceeded expectations and increased 17.7% year over year; institutional investors own 79.15% of the shares.

Western Alliance Bancorporation (NYSE:WAL - Get Free Report) had its price objective cut by stock analysts at JPMorgan Chase & Co. from $93.00 to $90.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The brokerage currently has a "neutral" rating on the financial services provider's stock. JPMorgan Chase & Co.'s price target would suggest a potential upside of 21.24% from the stock's current price.

Several other research firms have also recently issued reports on WAL. Piper Sandler boosted their target price on Western Alliance Bancorporation from $92.00 to $97.00 and gave the stock an "overweight" rating in a research report on Friday, July 24th. Weiss Ratings downgraded Western Alliance Bancorporation from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday, September 16th. Stifel Nicolaus set a $95.00 price objective on Western Alliance Bancorporation in a report on Thursday, July 23rd. Truist Financial increased their price objective on Western Alliance Bancorporation from $90.00 to $93.00 and gave the stock a "buy" rating in a research report on Monday, July 27th. Finally, Mizuho set a $96.00 target price on shares of Western Alliance Bancorporation in a research report on Thursday, July 23rd. Eleven investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $93.12.

Western Alliance Bancorporation Stock Performance

Shares of Western Alliance Bancorporation stock traded down $0.87 during trading hours on Thursday, hitting $74.23. 570,488 shares of the company were exchanged, compared to its average volume of 1,167,208. Western Alliance Bancorporation has a 1 year low of $65.82 and a 1 year high of $97.23. The company has a current ratio of 0.86, a quick ratio of 0.81 and a debt-to-equity ratio of 0.93. The business has a 50-day moving average of $79.92 and a 200-day moving average of $78.56. The stock has a market capitalization of $8.10 billion, a price-to-earnings ratio of 8.35, a P/E/G ratio of 0.77 and a beta of 1.33.

Western Alliance Bancorporation (NYSE:WAL - Get Free Report) last released its earnings results on Tuesday, July 21st. The financial services provider reported $2.36 EPS for the quarter, hitting the consensus estimate of $2.36. The company had revenue of $995.70 million during the quarter, compared to analysts' expectations of $980.53 million. Western Alliance Bancorporation had a net margin of 17.20% and a return on equity of 13.40%. The business's revenue was up 17.7% on a year-over-year basis. During the same quarter last year, the business earned $2.07 EPS. As a group, analysts expect that Western Alliance Bancorporation will post 9.16 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. Barrow Hanley Mewhinney & Strauss LLC purchased a new position in Western Alliance Bancorporation in the 2nd quarter valued at about $174,329,000. Focus Partners Advisor Solutions LLC purchased a new stake in shares of Western Alliance Bancorporation during the second quarter worth about $1,877,000. Independent Financial Group LLC acquired a new position in shares of Western Alliance Bancorporation in the first quarter valued at approximately $924,000. GSA Capital Partners LLP acquired a new position in shares of Western Alliance Bancorporation in the second quarter valued at approximately $2,051,000. Finally, Hsbc Holdings PLC lifted its stake in shares of Western Alliance Bancorporation by 635.0% during the first quarter. Hsbc Holdings PLC now owns 48,366 shares of the financial services provider's stock valued at $3,409,000 after buying an additional 41,786 shares during the period. 79.15% of the stock is currently owned by institutional investors and hedge funds.

Western Alliance Bancorporation Company Profile

Western Alliance Bancorporation is a bank holding company headquartered in Phoenix, Arizona. Its principal subsidiary, Western Alliance Bank, provides commercial and consumer banking services to businesses, institutions, entrepreneurs and individuals.

The company offers a range of financial products and services, including commercial and industrial loans, commercial real estate lending, residential mortgage warehouse financing, deposit accounts, treasury management, digital banking, payment services and personal banking products.

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