HWC Stock Price Chart
HWC Fundamental Analysis





HWC Earnings Analysis
Positive
Return on Assets Improvement: Achieved a return on assets (ROA) of 1.32%, reflecting improved profitability and efficiency.
Net Interest Income Increase: Net interest income increased by $10.1 million or 10% to $167 million, driven by higher yields on loans and securities.
Fee Income Growth: Fee income grew by 8% quarter over quarter, supported by higher investment and annuity fees, service charges, and specialty income.
Share Repurchase and Capital Ratios: Returned capital to investors by repurchasing over 300,000 shares of common stock during the quarter, while maintaining strong capital ratios with a TCE of 9.56% and a common equity Tier 1 ratio of 13.79%.
Non-Interest Income Growth: The company expects non-interest income for 2024 to increase by 6% to 7% compared to 2023's adjusted levels, indicating strong growth in fee income lines.
Negative
Loan Portfolio Contraction: Loans decreased by $450 million, with over $250 million attributed to a purposeful reduction in SNC exposure, indicating a significant contraction in the loan portfolio.
Deposit Decline and Liquidity Concerns: Deposits fell by $142 million during the quarter, reflecting a continued outflow in DDA accounts, which could signal potential liquidity issues.
Rising Criticized Loans: Criticized loans increased, with 60% of the rise linked to the recent SNC exam, suggesting underlying credit quality concerns that may affect future performance.
Asset Quality Deterioration: Net charge-offs rose quarter over quarter, indicating a deterioration in asset quality and potential future credit losses.
Loan Yield Decline Anticipated: The company anticipates a modest decline in loan yields in the next quarter due to expected rate cuts, which could negatively impact net interest income going forward.
HWC News





HWC FAQs
Should I buy or sell HWC Stock?
Based on the recent data, here's a concise analysis of HWC stock:
Recent Developments:
- Announced a 12.5% dividend increase to $0.45 per share, payable March 17, 2025
- Strategic acquisition of Sabal Trust Co. expected to close in Q2 2025, which will expand wealth management services in Florida
Positive Catalysts:
- Dividend growth signals financial strength and management confidence
- Strategic expansion in high-growth Florida market through acquisition
- Lower Federal Reserve rates (4.50-4.75% range) could benefit net interest margins
Risk Factors:
- Bank sector valuations remain under pressure despite recent Trump-related rally
- Integration risks from the Sabal Trust acquisition
- Market competition in wealth management services
Based on current market conditions and recent developments, HWC stock appears to be a HOLD. The company shows positive momentum with strategic growth initiatives and dividend increases, but broader banking sector challenges suggest caution. Investors should monitor the successful integration of Sabal Trust and the impact of interest rate environment on margins before increasing positions.