Westamerica Bancorporation (NASDAQ:WABC) Price Target Raised to $65.00

Westamerica Bancorporation (NASDAQ:WABC) had its target price upped by Keefe, Bruyette & Woods from $64.00 to $65.00 in a research note published on Friday,Benzinga reports. The brokerage currently has a market perform rating on the financial services provider’s stock.

Several other equities analysts have also recently issued reports on WABC. Weiss Ratings raised shares of Westamerica Bancorporation from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, October 8th. Wall Street Zen upgraded shares of Westamerica Bancorporation from a “sell” rating to a “hold” rating in a research report on Saturday, July 18th. One investment analyst has rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat, Westamerica Bancorporation presently has a consensus rating of “Moderate Buy” and a consensus price target of $65.00.

Westamerica Bancorporation Stock Performance

Shares of WABC stock opened at $61.28 on Friday. The business’s 50 day moving average is $59.11 and its two-hundred day moving average is $57.54. Westamerica Bancorporation has a twelve month low of $45.74 and a twelve month high of $63.61. The company has a market capitalization of $1.42 billion, a P/E ratio of 13.21 and a beta of 0.56.

Westamerica Bancorporation (NASDAQ:WABC) last released its quarterly earnings results on Thursday, October 15th. The financial services provider reported $1.22 EPS for the quarter, topping the consensus estimate of $1.17 by $0.05. Westamerica Bancorporation had a return on equity of 12.44% and a net margin of 41.63%. The business had revenue of $64.05 million during the quarter, compared to analysts’ expectations of $63.10 million. During the same quarter in the prior year, the business earned $1.12 earnings per share.

Westamerica Bancorporation Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, August 14th. Shareholders of record on Monday, August 3rd were issued a $0.48 dividend. This represents a $1.92 annualized dividend and a dividend yield of 3.1%. The ex-dividend date of this dividend was Monday, August 3rd. Westamerica Bancorporation’s dividend payout ratio is 41.38%.

Institutional Investors Weigh In On Westamerica Bancorporation

Hedge funds and other institutional investors have recently made changes to their positions in the business. Bessemer Group Inc. grew its holdings in Westamerica Bancorporation by 42.6% in the first quarter. Bessemer Group Inc. now owns 636 shares of the financial services provider’s stock valued at $33,000 after purchasing an additional 190 shares during the period. Global Retirement Partners LLC purchased a new position in Westamerica Bancorporation during the second quarter worth approximately $44,000. Fortitude Family Office LLC boosted its holdings in shares of Westamerica Bancorporation by 740.4% in the 3rd quarter. Fortitude Family Office LLC now owns 832 shares of the financial services provider’s stock valued at $49,000 after purchasing an additional 733 shares during the last quarter. Northwestern Mutual Wealth Management Co. acquired a new position in shares of Westamerica Bancorporation in the 2nd quarter valued at $59,000. Finally, PNC Financial Services Group Inc. boosted its holdings in shares of Westamerica Bancorporation by 57.3% in the 1st quarter. PNC Financial Services Group Inc. now owns 1,660 shares of the financial services provider’s stock valued at $87,000 after purchasing an additional 605 shares during the last quarter. Hedge funds and other institutional investors own 81.89% of the company’s stock.

Westamerica Bancorporation News Summary

Here are the key news stories impacting Westamerica Bancorporation this week:

• Positive Sentiment: Westamerica reported third-quarter diluted EPS of $1.22, exceeding the $1.17 analyst consensus, while revenue of approximately $64.1 million also topped expectations of $63.1 million. EPS increased from $1.12 a year earlier, helped by a reduced share count. Westamerica Q3 EPS report
• Positive Sentiment: Net income reached $28.2 million, up from $27.4 million in the prior quarter. Net interest margin improved four basis points sequentially to 3.81%, and the efficiency ratio remained strong at 40.8%.
• Positive Sentiment: Credit quality remained favorable: Westamerica recorded no provision for credit losses, while nonperforming loans fell to $476,000 from $2.6 million a year earlier. The company also paid a $0.48-per-share dividend and repurchased 51,000 shares. Westamerica third-quarter financial results
• Positive Sentiment: Keefe, Bruyette & Woods raised its price target from $64 to $65. Although the firm maintained a “market perform” rating, the increase signals somewhat improved valuation expectations.
• Neutral Sentiment: Westamerica’s deposit base was broadly stable, and management said capital ratios remained above the highest regulatory guidelines. However, the bank continues to invest excess deposits heavily in securities rather than loans.
• Negative Sentiment: Total loans declined 11.1% year over year, including a 30.5% drop in consumer loans, indicating weak lending demand and limiting future interest-income growth.
• Negative Sentiment: Net income slipped 0.4% year over year, while year-to-date net income was down 6.2%. Shareholders’ equity also declined 15.2%, and noninterest expense increased 1.6% in the quarter.

Westamerica Bancorporation Company Profile

Westamerica Bancorporation is a bank holding company headquartered in San Rafael, California. Its principal subsidiary, Westamerica Bank, is a community bank serving individuals, businesses, nonprofit organizations and public entities in Northern and Central California.

Westamerica Bank offers a range of traditional banking products and services, including checking and savings accounts, certificates of deposit, commercial and consumer loans, residential and commercial real estate financing, and lines of credit.