East West Bancorp Inc Stock Research

Market Summary

USD58.39+1.67

Delayed

2.94%

EWBC Alerts

1 major insider buys recently.
Big jump in Revenue (Y/Y)
Big jump in Earnings (Y/Y)

EWBC Stock Price

EWBC RSI Chart

EWBC Valuation

Market Cap

8.2B

Price/Earnings (Trailing)

7.29

Price/Sales (Trailing)

3.54

EV/EBITDA

1.35

Price/Free Cashflow

3.98

EWBC Price/Sales (Trailing)

EWBC Profitability

EBT Margin

60.81%

Return on Equity

18.85%

Return on Assets

1.76%

Free Cashflow Yield

25.11%

EWBC Fundamentals

EWBC Revenue

Revenue (TTM)

2.3B

Revenue Y/Y

80.08%

Revenue Q/Q

21.17%

EWBC Earnings

Earnings (TTM)

1.1B

Earnings Y/Y

54.62%

Earnings Q/Q

14.03%

Price Action

52 Week Range

33.8683.91

(Low)(High)

Last 7 days

-22.2%

Last 30 days

-27.4%

Last 90 days

-10.4%

Trailing 12 Months

-24.6%

EWBC Financial Health

Debt/Equity

0.03

Debt/Cashflow

13.56

EWBC Investor Care

Dividend Yield

2.74%

Dividend/Share (TTM)

1.6

Buy Backs (1Y)

0.68%

Diluted EPS (TTM)

7.92

Peers (Alternatives to East West Bancorp)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
BNS	56.4B	40.0B	-14.70%	-31.35%	5.3	1.79	34.99%	-10.60%
MTB	22.3B	6.2B	-22.59%	-28.16%	16.16	3.57	58.61%	-25.85%
CFG	16.0B	7.1B	-27.51%	-33.22%	7.74	2.27	45.54%	-10.61%
MID-CAP
EWBC	8.2B	2.3B	-27.37%	-24.64%	7.29	3.54	43.40%	29.22%
CBSH	7.2B	999.0M	-11.45%	-17.22%	14.81	7.24	17.76%	-7.98%
SIVB	6.3B	5.7B	-67.21%	-80.32%	3.9	1.11	72.48%	-22.38%
PB	5.9B	1.1B	-15.99%	-8.34%	11.26	5.39	4.58%	1.01%
FFIN	4.6B	432.9M	-14.26%	-28.54%	19.6	10.62	15.00%	3.04%
WAL	4.0B	2.7B	-56.96%	-60.33%	3.75	1.47	62.28%	17.58%
BPOP	3.8B	2.5B	-26.66%	-36.10%	3.43	1.54	16.17%	17.94%
SMALL-CAP
BANR	2.0B	450.9M	-15.05%	-7.40%	10.04	4.35	1.16%	-2.82%
SBCF	1.9B	380.5M	-23.55%	-29.09%	17.63	4.94	51.31%	-14.39%
LKFN	1.8B	239.6M	-3.96%	-15.64%	17.15	7.43	23.99%	8.44%
HTLF	1.7B	674.7M	-20.29%	-19.11%	7.99	2.51	14.59%	-3.52%

Financials for East West Bancorp

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Revenue	17.1%	2,321	1,983	1,770	1,669	1,619
EBITDA	10.7%	3,617	3,269	3,015	2,858	-
EBITDA Margin	-5.5%	1.56*	1.65*	1.70*	1.71*	-
Earnings Before Taxes	8.6%	1,412	1,300	1,189	1,119	1,056
EBT Margin	-7.3%	0.61*	0.66*	0.67*	0.67*	-
Interest Expenses	10.8%	2,046	1,846	1,690	1,593	1,532
Net Income	11.8%	1,128	1,009	939	906	873
Net Income Margin	-4.5%	0.49*	0.51*	0.53*	0.54*	-
Free Cahsflow	1.3%	2,066	2,039	1,694	1,106	-

Balance Sheet					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Assets	2.5%	64,112	62,576	62,394	62,241	60,871
Cash Equivalents	60.9%	3,482	2,163	1,902	3,849	3,913
Net PPE	-2.6%	89.00	92.00	94.00	96.00	97.00
Goodwill	0.0%	466	466	466	466	466
Liabilities	2.1%	58,128	56,915	56,785	56,538	55,033
Long Term Debt	-0.1%	152	153	153	152	152
Shareholder's Equity	5.7%	5,985	5,661	5,609	5,703	5,837
Retained Earnings	5.3%	5,583	5,303	5,065	4,864	4,684
Additional Paid-In Capital	0.5%	1,936	1,926	1,914	1,903	1,894
Accumulated Depreciation	1.4%	148	146	144	141	139
Shares Outstanding	-0.4%	141	141	142	-	-

* denotes actual numbers (not divided by Millions)
Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Cashflow From Operations	1.3%	2,066	2,039	1,694	1,112	1,168
Share Based Compensation	-0.7%	38.00	38.00	34.00	33.00	33.00
Cashflow From Investing	17.4%	-4,582	-5,549	-7,490	-6,453	-9,117
Cashflow From Financing	148.4%	2,114	851	1,711	4,561	7,835
Buy Backs	Infinity%	100	0.00	0.00	0.00	-

Risks for EWBC

What is the probability of a big loss on EWBC?

71.9%

Probability that East West Bancorp stock will be more than 20% underwater in next one year

36.5%

Probability that East West Bancorp stock will be more than 30% underwater in next one year.

28.9%

Probability that East West Bancorp stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does EWBC drawdown profile look like?

Y-axis is the maximum loss one would have experienced if East West Bancorp was unfortunately bought at previous high price.

Drawdowns

Returns for EWBC

Cumulative Returns on EWBC

10.5%

10-Year Cumulative Returns

10.6%

7-Year Cumulative Returns

-0.9%

5-Year Cumulative Returns

23.6%

3-Year Cumulative Returns

What are the long-term rolling returns for EWBC?

FIve years rolling returns for East West Bancorp.

Annualized Returns

Which funds bought or sold EWBC recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-03-10	VICTORY CAPITAL MANAGEMENT INC	added	7.49	1,973,280	37,814,300	0.04%
2023-03-06	Rockefeller Capital Management L.P.	added	87.75	58,000	125,000	-%
2023-03-02	OLIVER LAGORE VANVALIN INVESTMENT GROUP	unchanged	-	-464	5,536	-%
2023-02-28	Voya Investment Management LLC	reduced	-1.73	-214,503	5,842,500	0.01%
2023-02-24	NATIXIS	sold off	-100	-4,391,000	-	-%
2023-02-24	SRS Capital Advisors, Inc.	reduced	-0.05	-2,736	125,264	0.02%
2023-02-22	CVA Family Office, LLC	new	-	659	659	-%
2023-02-22	TEACHERS RETIREMENT SYSTEM OF THE STATE OF KENTUCKY	unchanged	-	-446,000	23,649,000	0.25%
2023-02-21	MACQUARIE GROUP LTD	reduced	-20.13	-58,063,000	210,381,000	0.25%
2023-02-21	NORTHWESTERN MUTUAL WEALTH MANAGEMENT CO	added	13.65	23,177	228,177	-%

Latest Funds Activity

Are funds buying EWBC calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own EWBC

No. of Funds

East West Bancorp News

Schedule 13G FIlings of East West Bancorp

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 13, 2023	capital international investors	8.8%	12,372,131	SC 13G/A
Feb 09, 2023	vanguard group inc	10.40%	14,665,380	SC 13G/A
Jan 24, 2023	blackrock inc.	9.2%	13,021,208	SC 13G/A
Sep 09, 2022	vanguard group inc	10.00%	14,094,967	SC 13G/A
Feb 14, 2022	aristotle capital management, llc	1.93%	2,736,571	SC 13G/A
Feb 11, 2022	capital international investors	8.7%	12,348,820	SC 13G/A
Feb 09, 2022	vanguard group inc	9.67%	13,717,144	SC 13G/A
Feb 03, 2022	blackrock inc.	8.8%	12,431,829	SC 13G/A
Feb 16, 2021	capital international investors	8.7%	12,319,426	SC 13G
Feb 10, 2021	vanguard group inc	9.28%	13,135,116	SC 13G/A

EWBC Fair Value

East West Bancorp fair value in different scenarios

The table shows the Fair Value estimates for East West Bancorp for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	- -	- -	- -	- -	- -
Current Inflation	33.09 -43.33%	62.37 6.82%	92.52 58.45%	134.98 131.17%	175.97 201.37%
Very High Inflation	- -	- -	- -	- -	- -

Historical East West Bancorp Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of East West Bancorp

View All Filings

Date Filed	Form Type	Document
Mar 15, 2023	8-K	Current Report
Mar 13, 2023	4	Insider Trading
Mar 13, 2023	8-K	Current Report
Mar 07, 2023	4	Insider Trading
Mar 07, 2023	4	Insider Trading
Mar 07, 2023	4	Insider Trading
Mar 07, 2023	4	Insider Trading
Feb 27, 2023	10-K	Annual Report
Feb 13, 2023	SC 13G/A	Major Ownership Report
Feb 09, 2023	SC 13G/A	Major Ownership Report

Latest Insider Trading transactions for EWBC

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-03-13	Oh Irene H	bought	495,130	49.513	10,000	chief financial officer
2023-03-04	Oh Irene H	sold (taxes)	-999,997	75.25	-13,289	chief financial officer
2023-03-04	TEO GARY	acquired	-	-	7,015	executive vice president
2023-03-04	KRAUSE DOUGLAS PAUL	sold (taxes)	-802,767	75.25	-10,668	vice chairman
2023-03-04	NG DOMINIC	acquired	-	-	205,256	chief executive officer
2023-03-04	KRAUSE DOUGLAS PAUL	acquired	-	-	25,545	vice chairman
2023-03-04	NG DOMINIC	sold (taxes)	-6,747,590	75.25	-89,669	chief executive officer
2023-03-04	Oh Irene H	acquired	-	-	34,210	chief financial officer
2023-03-04	TEO GARY	sold (taxes)	-187,297	75.25	-2,489	executive vice president
2023-01-31	LIU JACK C	sold	-154,000	77.00	-2,000	-

About East West Bancorp

Dominic Ng

www.eastwestbank.com

3100

East West Bancorp, Inc. operates as the bank holding company for East West Bank that provides a range of personal and commercial banking services to businesses and individuals. It operates through three segments: Consumer and Business Banking, Commercial Banking, and Other. The company accepts various deposit products, such as personal and business checking and savings accounts, money market, and time deposits. Its loan products include mortgage and home equity, commercial and residential real estate, working capital lines of credit, construction, trade finance, letters of credit, commercial business, affordable housing loans, asset-based lending, asset-backed finance, project finance, and equipment financing, as well as financing services to clients needing a financial bridge to facilitate their business transactions between the United States and China. The company also provides various wealth management, treasury management, foreign exchange, and interest rate and commodity risk hedging services; and mobile and online banking services. As of January 27, 2022, it operated approximately 120 locations in the United States and China; full-service branches in Hong Kong, Shanghai, Shantou, and Shenzhen; and representative offices in Beijing, Chongqing, Guangzhou, Taipei, and Xiamen. East West Bancorp, Inc. was incorporated in 1998 and is headquartered in Pasadena, California.

EWBC Income Statement

2022-12-31

CONSOLIDATED STATEMENT OF INCOME - USD ($) shares in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
INTEREST AND DIVIDEND INCOME
Loans receivable, including fees	$ 2,048,301,000	$ 1,424,900,000	$ 1,464,382,000
Debt Securities	198,906,000	143,983,000	82,553,000
Resale agreements	29,767,000	32,239,000	21,389,000
Restricted equity securities	3,144,000	2,081,000	1,543,000
Interest-bearing cash and deposits with banks	41,113,000	15,531,000	25,175,000
Total interest and dividend income	2,321,231,000	1,618,734,000	1,595,042,000
INTEREST EXPENSE
Deposits	251,838,000	69,159,000	184,742,000
Federal funds purchased and other short-term borrowings	1,801,000	42,000	1,504,000
FHLB advances	1,754,000	6,881,000	13,792,000
Repurchase agreements	14,362,000	7,999,000	11,766,000
Long-term debt and finance lease liabilities	5,595,000	3,082,000	6,045,000
Total interest expense	275,350,000	87,163,000	217,849,000
Net interest income before provision for (reversal of) credit losses	2,045,881,000	1,531,571,000	1,377,193,000
Provision for (reversal of) credit losses	73,500,000	(35,000,000)	210,653,000
Net interest income after provision for (reversal of) credit losses	1,972,381,000	1,566,571,000	1,166,540,000
NONINTEREST INCOME
Lending fees	79,208,000	77,704,000	74,842,000
Deposit account fees	88,435,000	71,261,000	48,148,000
Interest rate contracts and other derivative income	29,057,000	22,913,000	31,685,000
Foreign exchange income	48,158,000	48,977,000	22,370,000
Wealth management fees	27,565,000	25,751,000	17,494,000
Net gains on sales of loans	6,411,000	8,909,000	4,501,000
Gains on sales of AFS debt securities	1,306,000	1,568,000	12,299,000
Other investment income	7,037,000	16,852,000	10,641,000
Other income	11,489,000	11,960,000	13,567,000
Total noninterest income	298,666,000	285,895,000	235,547,000
NONINTEREST EXPENSE
Compensation and employee benefits	477,635,000	433,728,000	404,071,000
Occupancy and equipment expense	62,501,000	62,996,000	66,489,000
Deposit insurance premiums and regulatory assessments	19,449,000	17,563,000	15,128,000
Deposit account expense	25,508,000	16,152,000	13,530,000
Data processing	14,517,000	16,263,000	16,603,000
Computer software expense	28,259,000	30,600,000	29,033,000
Other operating expense	118,166,000	96,330,000	92,646,000
Amortization of Tax Credit and Other Investments	113,358,000	122,457,000	70,082,000
Repurchase agreements’ extinguishment cost	0	0	8,740,000
Total noninterest expense	859,393,000	796,089,000	716,322,000
INCOME BEFORE INCOME TAXES	1,411,654,000	1,056,377,000	685,765,000
INCOME TAX EXPENSE	283,571,000	183,396,000	117,968,000
NET INCOME	$ 1,128,083,000	$ 872,981,000	$ 567,797,000
EARNINGS PER SHARE (“EPS”)
BASIC (in dollars per share)	$ 7.98	$ 6.16	$ 3.99
DILUTED (in dollars per share)	$ 7.92	$ 6.10	$ 3.97
WEIGHTED-AVERAGE NUMBER OF SHARES OUTSTANDING
BASIC (in shares)	141,326	141,826	142,336
DILUTED (in shares)	142,492	143,140	142,991

EWBC Balance Sheet

2022-12-31

CONSOLIDATED BALANCE SHEET - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
ASSETS
Cash and due from banks	$ 534,980	$ 527,317
Interest-bearing cash with banks	2,946,804	3,385,618
Cash and cash equivalents	3,481,784	3,912,935
Interest-bearing deposits with banks	139,021	736,492
Assets purchased under resale agreements (“resale agreements”)	792,192	2,353,503
Securities:
Available-for-sale ("AFS") debt securities, at fair value (amortized cost of $6,879,225 and $10,087,179)	6,034,993	9,965,353
Held-to-maturity (“HTM”) debt securities, at amortized cost (fair value of $2,455,171)	3,001,868	0
Loans held-for-sale	25,644	635
Loans held-for-investment (net of allowance for loan losses of $595,645 and $541,579)	47,606,785	41,152,202
Investments in qualified affordable housing partnerships, tax credit and other investments, net	763,256	628,263
Premises and equipment (net of accumulated depreciation of $148,126 and $139,358)	89,191	97,302
Goodwill	465,697	465,697
Operating lease right-of-use assets	103,681	98,632
Other assets	1,608,038	1,459,687
TOTAL	64,112,150	60,870,701
Deposits:
Noninterest-bearing	21,051,090	22,845,464
Interest-bearing	34,916,759	30,505,068
Total deposits	55,967,849	53,350,532
Federal Home Loan Bank (“FHLB”) advances	0	249,331
Assets sold under repurchase agreements (“repurchase agreements”)	300,000	300,000
Long-term debt and finance lease liabilities	152,400	151,997
Operating lease liabilities	111,931	105,534
Accrued expenses and other liabilities	1,595,358	876,089
Total liabilities	58,127,538	55,033,483
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ EQUITY
Common stock, $0.001 par value, 200,000,000 shares authorized; 168,459,045 and 167,790,645 shares issued	168	168
Additional paid-in capital	1,936,389	1,893,557
Retained earnings	5,582,546	4,683,659
Treasury stock, at cost 27,511,199 and 25,882,691 shares	(768,862)	(649,785)
Accumulated other comprehensive loss (“AOCI”), net of tax	(765,629)	(90,381)
Total stockholders’ equity	5,984,612	5,837,218
TOTAL	$ 64,112,150	$ 60,870,701