EWBC Stock Analysis: East West Bancorp | NASDAQ
Banks - Regional | NASDAQ, USA | Market Cap: 17.947m USD | 12M Return: 34% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 113M
EPS Trend: 72.8%
Qual. Beats: 0
Rev. Trend: 40.2%
Qual. Beats: -1
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
East West Bancorp, Inc. (NASDAQ: EWBC) is a U.S. bank holding company that operates East West Bank, headquartered in Pasadena, California. Founded in 1973 and publicly traded since 1999, the company is classified as a large-cap regional bank within the Financials sector. As a bank holding company, EWBCs primary operations are conducted through its banking subsidiary, which is the typical corporate structure for U.S. depository institutions subject to regulation by the Federal Reserve and the OCC.
The company reports through three operating segments: Consumer and Business Banking, Commercial Banking, and Treasury and Other. This segmentation is common among regional banks, separating retail and small-business activities from larger commercial relationships and balance-sheet management functions such as funding, liquidity, and interest-rate positioning.
EWBCs deposit franchise includes personal and business checking accounts, savings accounts, money market accounts, and time deposits. On the lending side, the company offers a broad range of products covering mortgage and home equity loans, commercial and residential real estate finance, construction lending, working capital lines of credit, trade finance, letters of credit, asset-based lending, project finance, and equipment financing.
A distinguishing feature of East West Banks business model is its focus on cross-border banking between the United States and Asia. Trade finance, letters of credit, foreign exchange, and treasury management services are core offerings supporting clients engaged in trans-Pacific commerce, an established niche within the regional banking sector. The company also provides wealth management, interest-rate and commodity hedging, and digital banking channels (mobile and online).
- Net interest margin compresses as Fed cuts rates
- US-China trade tensions pressure Asia-linked commercial loans
- Commercial real estate exposure raises credit loss provisions
| Net Income: 1.45b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA 0.04 > 1.0 |
| NWC/Revenue: -1.27k% < 20% (prev -1.48k%; Δ 205.1% < -1%) |
| CFO/TA 0.02 > 3% & CFO 1.65b > Net Income 1.45b |
| Net Debt (-17.1b) to EBITDA (1.11b): -15.44 < 3 |
| Current Ratio: 0.31 > 1.5 & < 3 |
| Outstanding Shares: last quarter (138.6m) vs 12m ago -0.16% < -2% |
| Gross Margin: 54.05% > 18% (prev 49.55%; Δ 4.50% > 0.5%) |
| Asset Turnover: 4.70% > 50% (prev 5.21%; Δ -0.51% > 0%) |
| Interest Coverage Ratio: 0.58 > 6 (EBIT TTM 962.1m / Interest Expense TTM 1.65b) |
| A: -0.58 (Total Current Assets 21.3b - Total Current Liabilities 69.7b) / Total Assets 83.5b |
| B: 0.10 (Retained Earnings 8.30b / Total Assets 83.5b) |
| C: 0.01 (EBIT TTM 962.1m / Avg Total Assets 80.8b) |
| D: 0.12 (Book Value of Equity 9.25b / Total Liabilities 74.2b) |
| Altman-Z'' = -3.27 = D |
As of August 02, 2026, the stock is trading at USD 131.00 with a total of 597,134 shares traded. Over the past week, the price has changed by +0.00%, over one month by +1.48%, over three months by +4.24% and over the past year by +34.04%.
Current recommended Stop Loss: 124.70 (which is 4.8% or 2.5 ATR below the current price).
East West Bancorp has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy EWBC.
- StrongBuy: 5
- Buy: 2
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 146.9 | 12.1% |
P/E Trailing = 12.5841
P/E Forward = 14.9031
P/S = 6.2129
P/B = 1.9401
P/EG = 5.5751
Revenue TTM = 3.80b USD
EBIT TTM = 962.1m USD
EBITDA TTM = 1.11b USD
Long Term Debt = 3.04b USD (from longTermDebt, last fiscal year)
Short Term Debt = 956.9m USD (from shortTermDebt, last quarter)
Debt = 4.14b USD (from shortLongTermDebtTotal, last quarter) + Leases 148.7m
Net Debt = -17.1b USD (calculated: Debt 4.14b - CCE 21.3b)
Enterprise Value = 810.3m USD (17.9b + Debt 4.14b - CCE 21.3b)
Interest Coverage Ratio = 0.58 (Ebit TTM 962.1m / Interest Expense TTM 1.65b)
EV/FCF = 0.52x (Enterprise Value 810.3m / FCF TTM 1.55b)
FCF Yield = 191.7% (FCF TTM 1.55b / Enterprise Value 810.3m)
FCF Margin = 40.93% (FCF TTM 1.55b / Revenue TTM 3.80b)
Net Margin = 38.11% (Net Income TTM 1.45b / Revenue TTM 3.80b)
Gross Margin = 54.05% ((Revenue TTM 3.80b - Cost of Revenue TTM 1.74b) / Revenue TTM)
Gross Margin QoQ = -102.5% (prev 63.74%)
Tobins Q-Ratio = 0.01 (Enterprise Value 810.3m / Total Assets 83.5b)
Interest Expense / Debt = 39.79% (Interest Expense 1.65b / Debt 4.14b)
Taxrate = 22.13% (410.9m / 1.86b)
NOPAT = 749.2m (EBIT 962.1m * (1 - 22.13%))
Current Ratio = 0.31 (Total Current Assets 21.3b / Total Current Liabilities 69.7b)
Debt / Equity = 0.45 (Debt 4.14b / totalStockholderEquity, last quarter 9.25b)
Debt / EBITDA = -15.44 (Net Debt -17.1b / EBITDA 1.11b)
Debt / FCF = -11.03 (Net Debt -17.1b / FCF TTM 1.55b)
Total Stockholder Equity = 8.93b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.79% (Net Income 1.45b / Total Assets 83.5b)
RoE = 16.19% (Net Income TTM 1.45b / Total Stockholder Equity 8.93b)
RoCE = 8.04% (EBIT 962.1m / Capital Employed (Equity 8.93b + L.T.Debt 3.04b))
RoIC = 5.14% (NOPAT 749.2m / Invested Capital 14.6b)
WACC = 13.57% (E(17.9b)/V(22.1b) * Re(9.55%) + D(4.14b)/V(22.1b) * Rd(39.79%) * (1-Tc(0.22)))
Discount Rate = 9.55% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -91.94 | Cagr: -0.54%
[DCF] Terminal Value 61.00% ; FCFF base≈1.50b ; Y1≈1.62b ; Y5≈1.99b
[DCF] Fair Price = 241.6 (EV 16.0b - Net Debt -17.1b = Equity 33.1b / Shares 137.0m; r=13.57% [WACC]; 5y FCF grow 9.14% → 2.50% )
EPS Correlation: 72.76 | EPS CAGR: 6.61% | SUE: 0.23 | # QB: 0
Revenue Correlation: 40.19 | Revenue CAGR: 3.42% | SUE: -1.12 | # QB: -1
EPS current Quarter (2026-09-30): EPS=2.70 | Chg30d=-0.39% | Revisions=-29% | Analysts=15
EPS current Year (2026-12-31): EPS=10.64 | Chg30d=-0.17% | Revisions=-22% | GrowthEPS=+12.2% | GrowthRev=+8.7%
EPS next Year (2027-12-31): EPS=11.35 | Chg30d=+0.28% | Revisions=-12% | GrowthEPS=+6.6% | GrowthRev=+6.7%
[Analyst] Revisions Ratio: -28% (up=5, down=10)