Western Alliance Bancorporation (NYSE:WAL) Sees Significant Increase in Short Interest

Key Points

• Western Alliance Bancorporation experienced a dramatic increase in short interest, rising by 7,972.7% to a total of 4,440,000 shares by mid-July.
• The company reported earnings of $2.07 per share for the most recent quarter, surpassing analysts' expectations of $2.04 and showing significant growth compared to $1.75 from the same period last year.
• Analysts have varying target price adjustments for the stock, with JPMorgan raising it to $87.00 and Piper Sandler to $105.00, suggesting a consensus of a "Moderate Buy" rating among 12 analysts.

Western Alliance Bancorporation (NYSE:WAL - Get Free Report) saw a significant increase in short interest in July. As of July 15th, there was short interest totaling 4,440,000 shares, anincreaseof7,972.7% from the June 30th total of 55,000 shares. Based on an average trading volume of 956,500 shares, the short-interest ratio is presently 4.6 days. Based on an average trading volume of 956,500 shares, the short-interest ratio is presently 4.6 days.

Western Alliance Bancorporation Price Performance

Shares of NYSE WAL traded down $1.23 during trading on Friday, hitting $76.33. The company had a trading volume of 999,220 shares, compared to its average volume of 1,127,219. The firm has a market capitalization of $8.43 billion, a price-to-earnings ratio of 10.03, a price-to-earnings-growth ratio of 0.55 and a beta of 1.29. Western Alliance Bancorporation has a fifty-two week low of $57.05 and a fifty-two week high of $98.10. The stock has a fifty day simple moving average of $77.82 and a two-hundred day simple moving average of $78.23. The company has a quick ratio of 0.81, a current ratio of 0.85 and a debt-to-equity ratio of 0.95.

Western Alliance Bancorporation (NYSE:WAL - Get Free Report) last posted its quarterly earnings results on Thursday, July 17th. The financial services provider reported $2.07 earnings per share for the quarter, topping analysts' consensus estimates of $2.04 by $0.03. The firm had revenue of $836.21 million for the quarter, compared to analyst estimates of $838.58 million. Western Alliance Bancorporation had a net margin of 16.39% and a return on equity of 12.62%. During the same period in the previous year, the business posted $1.75 earnings per share. On average, research analysts expect that Western Alliance Bancorporation will post 9.05 earnings per share for the current year.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on the stock. JPMorgan Chase & Co. raised their target price on shares of Western Alliance Bancorporation from $80.00 to $87.00 and gave the stock an "overweight" rating in a report on Tuesday, July 1st. Citigroup raised their target price on shares of Western Alliance Bancorporation from $91.00 to $95.00 and gave the stock a "buy" rating in a report on Wednesday, July 2nd. Piper Sandler raised their target price on shares of Western Alliance Bancorporation from $94.00 to $105.00 and gave the stock an "overweight" rating in a report on Monday, July 21st. Wall Street Zen raised shares of Western Alliance Bancorporation from a "sell" rating to a "hold" rating in a report on Wednesday, May 21st. Finally, Truist Financial reduced their target price on shares of Western Alliance Bancorporation from $96.00 to $93.00 and set a "buy" rating for the company in a report on Monday, July 21st. Two research analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $96.62.

Insiders Place Their Bets

In other Western Alliance Bancorporation news, insider Tim R. Bruckner sold 2,500 shares of the firm's stock in a transaction on Thursday, July 24th. The shares were sold at an average price of $83.91, for a total value of $209,775.00. Following the completion of the transaction, the insider owned 24,759 shares of the company's stock, valued at approximately $2,077,527.69. This trade represents a 9.17% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. 2.68% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Western Alliance Bancorporation

A number of institutional investors and hedge funds have recently bought and sold shares of WAL. LPL Financial LLC raised its stake in Western Alliance Bancorporation by 7.5% during the fourth quarter. LPL Financial LLC now owns 146,303 shares of the financial services provider's stock worth $12,222,000 after purchasing an additional 10,245 shares during the period. JPMorgan Chase & Co. raised its stake in Western Alliance Bancorporation by 33.3% during the fourth quarter. JPMorgan Chase & Co. now owns 254,902 shares of the financial services provider's stock worth $21,295,000 after purchasing an additional 63,714 shares during the period. Pictet Asset Management Holding SA raised its stake in Western Alliance Bancorporation by 5.6% during the fourth quarter. Pictet Asset Management Holding SA now owns 14,111 shares of the financial services provider's stock worth $1,179,000 after purchasing an additional 742 shares during the period. Schroder Investment Management Group raised its stake in Western Alliance Bancorporation by 12.8% during the fourth quarter. Schroder Investment Management Group now owns 312,747 shares of the financial services provider's stock worth $26,136,000 after purchasing an additional 35,508 shares during the period. Finally, O Shaughnessy Asset Management LLC raised its stake in Western Alliance Bancorporation by 14.6% during the fourth quarter. O Shaughnessy Asset Management LLC now owns 10,965 shares of the financial services provider's stock worth $916,000 after purchasing an additional 1,393 shares during the period. 79.15% of the stock is currently owned by institutional investors and hedge funds.

About Western Alliance Bancorporation

Western Alliance Bancorporation operates as the bank holding company for Western Alliance Bank that provides various banking products and related services primarily in Arizona, California, and Nevada. It operates through Commercial and Consumer Related segments. The company offers deposit products, including checking, savings, and money market accounts, as well as fixed-rate and fixed maturity certificates of deposit accounts; demand deposits; and treasury management and residential mortgage products and services.

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