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Wall Street's Insights Into Key Metrics Ahead of East West Bancorp (EWBC) Q4 Earnings
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In its upcoming report, East West Bancorp (EWBC - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $1.89 per share, reflecting a decline of 20.3% compared to the same period last year. Revenues are forecasted to be $642.61 million, representing a year-over-year decrease of 4.2%.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 1.2% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
That said, let's delve into the average estimates of some East West Bancorp metrics that Wall Street analysts commonly model and monitor.
Analysts predict that the 'Net interest margin' will reach 3.5%. Compared to the current estimate, the company reported 4% in the same quarter of the previous year.
The consensus among analysts is that 'Adjusted efficiency ratio' will reach 34.2%. The estimate compares to the year-ago value of 28.7%.
Analysts expect 'Average Balance - Total interest-earning assets' to come in at $65.22 billion. The estimate compares to the year-ago value of $60.38 billion.
The combined assessment of analysts suggests that 'Efficiency ratio' will likely reach 42.7%. Compared to the present estimate, the company reported 38.4% in the same quarter last year.
According to the collective judgment of analysts, 'Total capital ratio' should come in at 15.3%. The estimate compares to the year-ago value of 14%.
The consensus estimate for 'Tier 1 capital ratio' stands at 13.9%. Compared to the present estimate, the company reported 12.7% in the same quarter last year.
The average prediction of analysts places 'Leverage ratio' at 10.5%. Compared to the present estimate, the company reported 9.8% in the same quarter last year.
Analysts forecast 'Total Noninterest Income' to reach $73.31 million. The estimate compares to the year-ago value of $64.93 million.
Based on the collective assessment of analysts, 'Net Interest Income' should arrive at $569.44 million. The estimate is in contrast to the year-ago figure of $605.51 million.
The collective assessment of analysts points to an estimated 'Deposit account fees' of $22.48 million. Compared to the present estimate, the company reported $22.11 million in the same quarter last year.
It is projected by analysts that the 'Foreign exchange income' will reach $12.77 million. The estimate compares to the year-ago value of $14.02 million.
Analysts' assessment points toward 'Lending fees' reaching $19.96 million. The estimate compares to the year-ago value of $19.34 million.
Over the past month, East West Bancorp shares have recorded returns of -2.5% versus the Zacks S&P 500 composite's +0.6% change. Based on its Zacks Rank #3 (Hold), EWBC will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Wall Street's Insights Into Key Metrics Ahead of East West Bancorp (EWBC) Q4 Earnings
In its upcoming report, East West Bancorp (EWBC - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $1.89 per share, reflecting a decline of 20.3% compared to the same period last year. Revenues are forecasted to be $642.61 million, representing a year-over-year decrease of 4.2%.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 1.2% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
That said, let's delve into the average estimates of some East West Bancorp metrics that Wall Street analysts commonly model and monitor.
Analysts predict that the 'Net interest margin' will reach 3.5%. Compared to the current estimate, the company reported 4% in the same quarter of the previous year.
The consensus among analysts is that 'Adjusted efficiency ratio' will reach 34.2%. The estimate compares to the year-ago value of 28.7%.
Analysts expect 'Average Balance - Total interest-earning assets' to come in at $65.22 billion. The estimate compares to the year-ago value of $60.38 billion.
The combined assessment of analysts suggests that 'Efficiency ratio' will likely reach 42.7%. Compared to the present estimate, the company reported 38.4% in the same quarter last year.
According to the collective judgment of analysts, 'Total capital ratio' should come in at 15.3%. The estimate compares to the year-ago value of 14%.
The consensus estimate for 'Tier 1 capital ratio' stands at 13.9%. Compared to the present estimate, the company reported 12.7% in the same quarter last year.
The average prediction of analysts places 'Leverage ratio' at 10.5%. Compared to the present estimate, the company reported 9.8% in the same quarter last year.
Analysts forecast 'Total Noninterest Income' to reach $73.31 million. The estimate compares to the year-ago value of $64.93 million.
Based on the collective assessment of analysts, 'Net Interest Income' should arrive at $569.44 million. The estimate is in contrast to the year-ago figure of $605.51 million.
The collective assessment of analysts points to an estimated 'Deposit account fees' of $22.48 million. Compared to the present estimate, the company reported $22.11 million in the same quarter last year.
It is projected by analysts that the 'Foreign exchange income' will reach $12.77 million. The estimate compares to the year-ago value of $14.02 million.
Analysts' assessment points toward 'Lending fees' reaching $19.96 million. The estimate compares to the year-ago value of $19.34 million.
View all Key Company Metrics for East West Bancorp here>>>
Over the past month, East West Bancorp shares have recorded returns of -2.5% versus the Zacks S&P 500 composite's +0.6% change. Based on its Zacks Rank #3 (Hold), EWBC will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>