Community West Bancshares (NASDAQ:CWBC) Releases Earnings Results, Beats Estimates By $0.04 EPS

Key Points

• Community West Bancshares reported a quarterly EPS of $0.57, beating the consensus estimate of $0.54 by $0.03, with a net margin of 13.88% and a return on equity of 7.91%.
• The company’s stock experienced a decline of 2.9%, trading at $20.19, amid variable analysts' ratings that range from "Buy" to "Strong Sell".
• Institutional investors own 33.80% of Community West Bancshares, with several large investors, including JPMorgan Chase & Co., increasing their positions in the company during the second quarter.

Community West Bancshares (NASDAQ:CWBC - Get Free Report) announced its quarterly earnings results on Thursday. The financial services provider reported $0.57 earnings per share for the quarter, topping analysts' consensus estimates of $0.53 by $0.04, Zacks reports. The company had revenue of $37.91 million during the quarter, compared to analysts' expectations of $36.75 million. Community West Bancshares had a return on equity of 9.26% and a net margin of 17.49%.

Community West Bancshares Price Performance

Shares of CWBC stock opened at $20.70 on Friday. Community West Bancshares has a 52 week low of $15.57 and a 52 week high of $22.89. The stock has a market capitalization of $395.99 million, a PE ratio of 11.63 and a beta of 0.91. The company has a debt-to-equity ratio of 0.18, a quick ratio of 0.84 and a current ratio of 0.84. The stock's fifty day moving average is $20.82 and its 200-day moving average is $19.27.

Community West Bancshares Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, November 14th. Shareholders of record on Friday, October 31st will be given a $0.12 dividend. The ex-dividend date is Friday, October 31st. This represents a $0.48 annualized dividend and a yield of 2.3%. Community West Bancshares's payout ratio is presently 34.53%.

Institutional Investors Weigh In On Community West Bancshares

A number of institutional investors and hedge funds have recently made changes to their positions in CWBC. First Trust Advisors LP grew its position in shares of Community West Bancshares by 7.0% during the 2nd quarter. First Trust Advisors LP now owns 12,165 shares of the financial services provider's stock worth $237,000 after buying an additional 794 shares during the period. Orion Porfolio Solutions LLC raised its position in shares of Community West Bancshares by 4.1% during the 2nd quarter. Orion Porfolio Solutions LLC now owns 28,321 shares of the financial services provider's stock valued at $553,000 after acquiring an additional 1,111 shares during the last quarter. Tower Research Capital LLC TRC lifted its stake in shares of Community West Bancshares by 75.5% in the 2nd quarter. Tower Research Capital LLC TRC now owns 3,237 shares of the financial services provider's stock valued at $63,000 after purchasing an additional 1,393 shares during the period. Raymond James Financial Inc. acquired a new position in shares of Community West Bancshares in the 2nd quarter valued at $46,000. Finally, JPMorgan Chase & Co. boosted its position in shares of Community West Bancshares by 42.5% in the 2nd quarter. JPMorgan Chase & Co. now owns 21,357 shares of the financial services provider's stock worth $417,000 after purchasing an additional 6,369 shares during the last quarter. Institutional investors own 33.80% of the company's stock.

Wall Street Analyst Weigh In

A number of brokerages have recently weighed in on CWBC. Zacks Research lowered Community West Bancshares from a "hold" rating to a "strong sell" rating in a research note on Tuesday. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Community West Bancshares in a research report on Wednesday, October 8th. Keefe, Bruyette & Woods increased their price target on shares of Community West Bancshares from $19.00 to $22.00 and gave the company a "market perform" rating in a report on Friday, July 18th. Finally, DA Davidson raised their price target on shares of Community West Bancshares from $20.00 to $24.00 and gave the stock a "buy" rating in a research report on Monday, July 21st. Two research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Hold" and a consensus target price of $21.67.

Community West Bancshares Company Profile

Community West Bancshares operates as the bank holding company for Community West Bank, N.A. that provides various financial products and services in California. The company offers deposit products, such as checking accounts, savings accounts, money market accounts, and fixed rate and fixed maturity certificates of deposits; and cash management products.