Washington Federal Inc. (NASDAQ:WAFD), a bank holding company for Washington Federal Bank, has reached a new 52-week high, with its stock price climbing to $36.05. This milestone reflects a significant uptrend in the company's stock value, marking a robust 1-year change of 17.55%. Investors have shown increased confidence in Washington Federal's financial performance and strategic initiatives, which have contributed to the stock's impressive appreciation over the past year. The achievement of this 52-week high serves as a testament to the company's resilience and potential for continued growth in the competitive banking sector.
In other recent news, Washington Federal Inc. reported second-quarter results surpassing analysts' expectations with operational earnings per share (EPS) of $0.76, beating the predicted $0.51. Additionally, the company's pre-provision net revenue (PPNR) reported at $85.6 million, an 18% beat. In response, financial services firm Stephens raised the price target for the company to $36.00 from $32.00, maintaining an Equal Weight rating on the stock. Meanwhile, DA Davidson upgraded Washington Federal's price target to $39 from the previous $32, maintaining a Buy rating.
In a strategic move, Washington Federal sold $3.2 billion of multifamily loans to Bank of America (NYSE:BAC) at an 8.0% discount. This decision is expected to provide the company with increased balance sheet flexibility. Piper Sandler revised its earnings per share (EPS) estimates for Washington Federal for the years 2024 and 2025 in light of these developments.
Washington Federal's board of directors approved an increase in the share repurchase program, authorizing an additional 10 million shares for buyback. This adjustment raises the total number of shares currently authorized for repurchase to 11.8 million. The company also declared a regular cash dividend of 26 cents per share, marking the company's 165th consecutive quarterly dividend. These recent developments highlight Washington Federal's ongoing strategic efforts and financial performance.
InvestingPro Insights
Washington Federal Inc. (WAFD) has recently caught the attention of the market, hitting a 52-week high with a strong performance that has left investors optimistic. To provide further context to this achievement, InvestingPro data reveals a market capitalization of $2.92 billion and a Price to Earnings (P/E) ratio of 14.47, which adjusts to 16.72 when considering the last twelve months as of Q3 2024. Despite a revenue decline of 9.39% during the same period, the company has experienced a quarterly revenue growth of 10.63% in Q3 2024.
Washington Federal's stock price is currently trading at 99.81% of its 52-week high, reflecting strong market sentiment. This is supported by a 1-month price total return of 25.4% and a 3-month return of 33.51%, highlighting the stock's recent upward trajectory. Additionally, an InvestingPro Tip notes that the company has maintained dividend payments for an impressive 42 consecutive years, with a dividend yield of 2.9% as of the latest data, and a dividend growth of 4.0% over the last twelve months as of Q3 2024. Furthermore, analysts have revised their earnings upwards for the upcoming period, indicating potential for continued financial strength.
For investors seeking more in-depth analysis, there are additional InvestingPro Tips available, including insights on profitability and stock performance trends. For instance, Washington Federal has raised its dividend for 5 consecutive years and is trading near its 52-week high, which may be of particular interest to those focused on long-term investment stability and income generation. To explore these further, investors can visit InvestingPro for a comprehensive set of tips and data tailored to Washington Federal Inc.
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