Orion Porfolio Solutions LLC Raises Stock Position in East West Bancorp, Inc. $EWBC

Key Points

• Orion Portfolio Solutions LLC increased its stake in East West Bancorp by 135.5% in Q3 to 21,540 shares (about $2.29M), amid broad institutional accumulation that leaves institutions owning 89.53% of the stock with large additions from firms like Invesco, Norges Bank and Boston Partners.
• Quarterly results beat expectations: East West reported $2.52 EPS vs. $2.48 expected and $753.8M in revenue vs. $745.0M expected, with ROE of 15.72% and a net margin of 28.36%, and analysts project roughly $8.85 EPS for the year.
• Dividend increase: the company raised its quarterly dividend to $0.80 (from $0.60), an annualized $3.20 payout representing about a 3.0% yield and a 33.6% payout ratio.

Orion Porfolio Solutions LLC boosted its stake in shares of East West Bancorp, Inc. (NASDAQ:EWBC - Free Report) by 135.5% in the third quarter, according to its most recent disclosure with the SEC. The firm owned 21,540 shares of the financial services provider's stock after acquiring an additional 12,392 shares during the period. Orion Porfolio Solutions LLC's holdings in East West Bancorp were worth $2,293,000 at the end of the most recent quarter.

Several other institutional investors have also modified their holdings of the stock. Invesco Ltd. raised its holdings in East West Bancorp by 38.5% in the 2nd quarter. Invesco Ltd. now owns 10,683,377 shares of the financial services provider's stock valued at $1,078,807,000 after acquiring an additional 2,968,716 shares during the last quarter. Norges Bank acquired a new position in shares of East West Bancorp during the 2nd quarter worth approximately $174,431,000. Boston Partners boosted its holdings in shares of East West Bancorp by 39.6% during the 2nd quarter. Boston Partners now owns 3,241,088 shares of the financial services provider's stock worth $327,271,000 after purchasing an additional 920,159 shares during the last quarter. Sei Investments Co. grew its position in shares of East West Bancorp by 448.5% in the second quarter. Sei Investments Co. now owns 840,371 shares of the financial services provider's stock valued at $84,861,000 after purchasing an additional 687,145 shares in the last quarter. Finally, AQR Capital Management LLC increased its holdings in shares of East West Bancorp by 61.9% in the second quarter. AQR Capital Management LLC now owns 1,418,174 shares of the financial services provider's stock valued at $143,207,000 after purchasing an additional 542,149 shares during the last quarter. Institutional investors and hedge funds own 89.53% of the company's stock.

East West Bancorp Price Performance

EWBC stock opened at $107.65 on Wednesday. East West Bancorp, Inc. has a 52-week low of $68.27 and a 52-week high of $123.82. The company has a quick ratio of 0.89, a current ratio of 0.89 and a debt-to-equity ratio of 0.34. The stock has a market cap of $14.81 billion, a price-to-earnings ratio of 11.31, a price-to-earnings-growth ratio of 1.39 and a beta of 0.90. The business has a fifty day moving average of $115.25 and a two-hundred day moving average of $109.57.

East West Bancorp (NASDAQ:EWBC - Get Free Report) last announced its quarterly earnings results on Thursday, January 22nd. The financial services provider reported $2.52 EPS for the quarter, beating the consensus estimate of $2.48 by $0.04. The business had revenue of $753.79 million for the quarter, compared to analyst estimates of $745.04 million. East West Bancorp had a return on equity of 15.72% and a net margin of 28.36%.During the same quarter in the prior year, the company posted $2.10 EPS. As a group, research analysts anticipate that East West Bancorp, Inc. will post 8.85 earnings per share for the current year.

East West Bancorp Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, February 17th. Shareholders of record on Monday, February 2nd were given a $0.80 dividend. The ex-dividend date of this dividend was Monday, February 2nd. This is an increase from East West Bancorp's previous quarterly dividend of $0.60. This represents a $3.20 dividend on an annualized basis and a yield of 3.0%. East West Bancorp's dividend payout ratio is currently 33.61%.

Insider Activity at East West Bancorp

In other East West Bancorp news, insider Irene H. Oh sold 12,547 shares of East West Bancorp stock in a transaction dated Wednesday, December 17th. The shares were sold at an average price of $115.00, for a total transaction of $1,442,905.00. Following the completion of the sale, the insider directly owned 93,167 shares in the company, valued at $10,714,205. This trade represents a 11.87% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Gary Teo sold 7,000 shares of the business's stock in a transaction that occurred on Friday, February 6th. The shares were sold at an average price of $122.59, for a total transaction of $858,130.00. Following the completion of the sale, the executive vice president directly owned 5,252 shares in the company, valued at $643,842.68. This trade represents a 57.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 119,065 shares of company stock valued at $13,857,314 over the last quarter. 1.04% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on EWBC. TD Cowen reduced their price objective on East West Bancorp from $141.00 to $140.00 and set a "buy" rating on the stock in a research report on Monday, January 26th. Barclays raised their target price on East West Bancorp from $145.00 to $150.00 and gave the stock an "overweight" rating in a research note on Friday, December 19th. UBS Group set a $125.00 price target on East West Bancorp in a report on Wednesday, February 4th. Weiss Ratings reissued a "buy (b-)" rating on shares of East West Bancorp in a research report on Monday, December 29th. Finally, Deutsche Bank Aktiengesellschaft began coverage on shares of East West Bancorp in a report on Tuesday, December 16th. They issued a "buy" rating and a $133.00 price objective for the company. Ten analysts have rated the stock with a Buy rating and six have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $129.21.

East West Bancorp 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.

Want to see what other hedge funds are holding EWBC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for East West Bancorp, Inc. (NASDAQ:EWBC - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.