East West Bancorp, Inc. (NASDAQ:EWBC) Given Consensus Rating of "Moderate Buy" by Analysts

Key Points

• Analysts rate East West Bancorp “Moderate Buy”: Of 15 analysts, nine recommend buying, five rate it a hold, and one gives it a strong-buy rating. The average 12-month price target is $141.77, with recent targets ranging as high as $155.
• Quarterly results exceeded expectations: East West Bancorp reported earnings of $2.63 per share versus the $2.61 consensus estimate, while revenue rose 12.5% year over year to $789.98 million.
• The bank maintains a quarterly dividend: The company declared an $0.80-per-share dividend, representing $3.20 annually and a 2.3% yield. Meanwhile, insiders sold 33,511 shares worth approximately $4.31 million over the past quarter.

Shares of East West Bancorp, Inc. (NASDAQ:EWBC - Get Free Report) have been given an average rating of "Moderate Buy" by the fifteen analysts that are currently covering the firm, Marketbeat.com reports. Five research analysts have rated the stock with a hold rating, nine have issued a buy rating and one has given a strong buy rating to the company. The average 1-year target price among analysts that have covered the stock in the last year is $141.7692.

A number of equities research analysts have recently commented on the stock. TD Cowen lifted their price target on shares of East West Bancorp from $137.00 to $143.00 and gave the stock a "buy" rating in a report on Thursday, April 23rd. Wells Fargo & Company began coverage on shares of East West Bancorp in a research report on Monday, August 10th. They set an "overweight" rating and a $155.00 target price on the stock. DA Davidson lifted their target price on shares of East West Bancorp from $150.00 to $155.00 and gave the stock a "buy" rating in a research note on Thursday, July 23rd. Piper Sandler lifted their target price on shares of East West Bancorp from $111.00 to $123.00 and gave the stock a "neutral" rating in a research note on Monday, April 27th. Finally, Cantor Fitzgerald reiterated an "overweight" rating and issued a $150.00 price target on shares of East West Bancorp in a report on Wednesday, July 22nd.

East West Bancorp Trading Up 0.5%

East West Bancorp stock opened at $136.60 on Friday. The stock has a market cap of $18.72 billion, a PE ratio of 13.13, a P/E/G ratio of 1.58 and a beta of 0.94. The stock has a 50-day moving average price of $131.07 and a 200 day moving average price of $121.33. East West Bancorp has a 52 week low of $92.67 and a 52 week high of $137.30. The company has a current ratio of 0.88, a quick ratio of 0.88 and a debt-to-equity ratio of 0.33.

East West Bancorp (NASDAQ:EWBC - Get Free Report) last announced its earnings results on Tuesday, July 21st. The financial services provider reported $2.63 earnings per share for the quarter, beating the consensus estimate of $2.61 by $0.02. East West Bancorp had a net margin of 30.45% and a return on equity of 16.07%. The firm had revenue of $789.98 million during the quarter, compared to the consensus estimate of $784.47 million. During the same quarter in the previous year, the company posted $2.24 EPS. The firm's revenue for the quarter was up 12.5% on a year-over-year basis. Equities research analysts predict that East West Bancorp will post 10.61 earnings per share for the current fiscal year.

East West Bancorp Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, August 17th. Stockholders of record on Monday, August 3rd will be issued a dividend of $0.80 per share. The ex-dividend date is Monday, August 3rd. This represents a $3.20 annualized dividend and a dividend yield of 2.3%. East West Bancorp's dividend payout ratio (DPR) is 30.77%.

Insider Activity

In related news, Director Jack C. Liu sold 1,000 shares of the stock in a transaction dated Wednesday, August 12th. The stock was sold at an average price of $135.02, for a total transaction of $135,020.00. Following the transaction, the director directly owned 13,709 shares in the company, valued at approximately $1,850,989.18. This represents a 6.80% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Vice Chairman Douglas Paul Krause sold 10,000 shares of the firm's stock in a transaction dated Thursday, August 6th. The stock was sold at an average price of $132.37, for a total value of $1,323,700.00. Following the completion of the sale, the insider directly owned 36,974 shares in the company, valued at approximately $4,894,248.38. The trade was a 21.29% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 33,511 shares of company stock valued at $4,312,741 over the last quarter. Company insiders own 0.94% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of EWBC. Geode Capital Management LLC increased its stake in East West Bancorp by 1.0% during the fourth quarter. Geode Capital Management LLC now owns 2,825,161 shares of the financial services provider's stock worth $319,523,000 after acquiring an additional 27,402 shares during the last quarter. Northwestern Mutual Wealth Management Co. raised its holdings in shares of East West Bancorp by 84,090.3% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 5,311,566 shares of the financial services provider's stock worth $596,967,000 after purchasing an additional 5,305,257 shares during the period. Mach 1 Financial Group LLC acquired a new position in shares of East West Bancorp in the 4th quarter valued at about $1,044,000. Jackson Creek Investment Advisors LLC acquired a new position in shares of East West Bancorp in the 4th quarter valued at about $1,516,000. Finally, Natixis Advisors LLC grew its holdings in shares of East West Bancorp by 9.6% during the 4th quarter. Natixis Advisors LLC now owns 199,658 shares of the financial services provider's stock worth $22,440,000 after purchasing an additional 17,486 shares during the period. 89.53% of the stock is currently owned by hedge funds and other institutional investors.

About East West Bancorp

East West Bancorp, Inc is a bank holding company and the parent of East West Bank, one of the largest independent banks headquartered in Southern California. As a full-service commercial bank, it provides a broad range of financial products and services to business and individual customers, including commercial and residential real estate lending, working capital lines of credit, trade finance, and deposit and treasury management services. The company caters to both large and middle-market businesses, leveraging its expertise to serve clients engaged in cross-border trade and investment between the United States and Greater China.

Founded in Los Angeles in the early 1970s, East West Bank has grown steadily through organic expansion and strategic branch openings.

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