East West Bancorp (NASDAQ:EWBC) CEO Sells $3,704,700.00 in Stock

Key Points

• CEO Dominic Ng sold 30,000 shares at an average price of $123.49 on May 5 for a total of $3,704,700, trimming his stake by 3.91% to 737,930 shares (about $91.13M).
• East West Bancorp beat expectations for the quarter with $2.57 EPS vs. $2.46 estimate and revenue of $773.75M (up 11.8% YoY), posting a 16.0% return on equity and a 29.59% net margin.
• The company declared a quarterly dividend of $0.80 per share (annualized $3.20, yield 2.6%, ex-dividend May 4), while the stock trades near $125.22 and carries a consensus "Moderate Buy" rating with an average price target of $132.36.

East West Bancorp, Inc. (NASDAQ:EWBC - Get Free Report) CEO Dominic Ng sold 30,000 shares of East West Bancorp stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $123.49, for a total value of $3,704,700.00. Following the completion of the transaction, the chief executive officer owned 737,930 shares of the company's stock, valued at approximately $91,126,975.70. This represents a 3.91% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website.

East West Bancorp Price Performance

EWBC stock traded up $1.67 during mid-day trading on Wednesday, reaching $125.22. 780,850 shares of the company's stock were exchanged, compared to its average volume of 1,106,572. The company has a debt-to-equity ratio of 0.34, a current ratio of 0.88 and a quick ratio of 0.88. East West Bancorp, Inc. has a 12-month low of $86.58 and a 12-month high of $127.51. The stock's 50 day moving average is $112.71 and its 200 day moving average is $111.53. The company has a market cap of $17.15 billion, a price-to-earnings ratio of 12.51, a price-to-earnings-growth ratio of 1.52 and a beta of 0.97.

East West Bancorp (NASDAQ:EWBC - Get Free Report) last announced its earnings results on Tuesday, April 21st. The financial services provider reported $2.57 earnings per share for the quarter, topping the consensus estimate of $2.46 by $0.11. East West Bancorp had a return on equity of 16.00% and a net margin of 29.59%.The business had revenue of $773.75 million during the quarter, compared to the consensus estimate of $767.80 million. During the same period in the prior year, the company posted $2.08 EPS. The business's quarterly revenue was up 11.8% on a year-over-year basis. On average, research analysts expect that East West Bancorp, Inc. will post 10.57 EPS for the current year.

East West Bancorp Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, May 18th. Shareholders of record on Monday, May 4th will be given a dividend of $0.80 per share. The ex-dividend date is Monday, May 4th. This represents a $3.20 dividend on an annualized basis and a yield of 2.6%. East West Bancorp's dividend payout ratio is currently 31.97%.

Hedge Funds Weigh In On East West Bancorp

Institutional investors have recently added to or reduced their stakes in the stock. Geneos Wealth Management Inc. raised its position in East West Bancorp by 66.9% in the first quarter. Geneos Wealth Management Inc. now owns 801 shares of the financial services provider's stock valued at $72,000 after purchasing an additional 321 shares during the period. Sivia Capital Partners LLC purchased a new stake in East West Bancorp during the 2nd quarter worth approximately $274,000. Baird Financial Group Inc. purchased a new stake in East West Bancorp during the 2nd quarter worth approximately $290,000. Marshall Wace LLP increased its stake in East West Bancorp by 34.3% during the 2nd quarter. Marshall Wace LLP now owns 3,223 shares of the financial services provider's stock worth $325,000 after buying an additional 823 shares during the period. Finally, Cerity Partners LLC increased its stake in East West Bancorp by 118.7% during the 2nd quarter. Cerity Partners LLC now owns 35,335 shares of the financial services provider's stock worth $3,568,000 after buying an additional 19,178 shares during the period. Hedge funds and other institutional investors own 89.53% of the company's stock.

Analyst Ratings Changes

Several research analysts recently weighed in on the stock. Stephens upped their price target on shares of East West Bancorp from $120.00 to $125.00 and gave the stock an "equal weight" rating in a research report on Monday, January 26th. Keefe, Bruyette & Woods boosted their price objective on East West Bancorp from $131.00 to $135.00 and gave the stock an "outperform" rating in a research note on Friday, January 23rd. Piper Sandler increased their target price on East West Bancorp from $111.00 to $123.00 and gave the company a "neutral" rating in a report on Monday, April 27th. DA Davidson lifted their price target on East West Bancorp from $135.00 to $140.00 and gave the stock a "buy" rating in a research note on Wednesday, April 22nd. Finally, Barclays dropped their price target on East West Bancorp from $150.00 to $142.00 and set an "overweight" rating for the company in a research report on Tuesday, April 7th. Eleven analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, East West Bancorp currently has an average rating of "Moderate Buy" and an average price target of $132.36.

East West Bancorp Company Profile

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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