Western Alliance Reports Strong Q4 Earnings with Revenue Growth
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1d ago
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Source: seekingalpha
- Earnings Per Share Growth: Western Alliance reported a GAAP EPS of $2.59 for Q4, reflecting a 17.0% year-over-year increase, which significantly boosts investor confidence in the company's profitability.
- Strong Revenue Performance: The company achieved revenues of $980.9 million in Q4, marking a 17.0% increase compared to the previous year, indicating robust business expansion and strong market demand that further solidifies its market position.
- Loan and Deposit Dynamics: HFI loans totaled $58.7 billion, up $2.0 billion, with a loan-to-deposit ratio rising to 76.0%, demonstrating increased activity in the credit market, while total deposits slightly decreased by $88 million due to seasonal factors.
- Increase in Shareholder Equity: Total equity reached $7.9 billion, up $256 million or 3.3%, indicating a healthy financial condition that provides a solid foundation for future investments and expansion.
Analyst Views on WAL
Wall Street analysts forecast WAL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for WAL is 101.38 USD with a low forecast of 85.00 USD and a high forecast of 115.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
9 Buy
0 Hold
1 Sell
Strong Buy
Current: 88.420
Low
85.00
Averages
101.38
High
115.00
Current: 88.420
Low
85.00
Averages
101.38
High
115.00
About WAL
Western Alliance Bancorporation is a bank holding company. It provides a full spectrum of customized loan, deposit and treasury management capabilities, including funds transfer and other digital payment offerings through its wholly owned banking subsidiary, Western Alliance Bank. It operates through its banking divisions: Alliance Bank of Arizona, Bank of Nevada, Bridge Bank, First Independent Bank, and Torrey Pines Bank. The Company also provides an array of specialized financial services to business customers across the country, including mortgage banking services through AmeriHome, treasury management services to the homeowner's association sector, and digital payment services for the class-action legal industry. It has two non-bank subsidiaries, such as CS Insurance Company (CSI) and Western Alliance Trust Company, N.A. (WATC). CSI is a captive insurance company. WATC provides corporate trust services and levered loan administration solutions.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
