Rudolph Estrada, a director at East West Bancorp Inc. (NASDAQ:EWBC), recently sold 469 shares of the company's common stock. The shares were sold at a weighted average price of $98.04 each, totaling approximately $45,980. Following this transaction, Estrada holds 17,750 shares directly. This sale was reported in a Form 4 filing with the Securities and Exchange Commission, reflecting activity on November 5, 2024.
In other recent news, East West Bancorp has seen significant developments in its financial performance. The company's third-quarter earnings per share (EPS) of $2.14 surpassed both Stephens' and consensus estimates, leading to an upward revision of the stock price target by Stephens and BofA Securities. The bank's pre-provision net revenue (PPNR) showed a 4.5% increase, attributed to a 2.3% net interest income (NII) beat, a 3.2% fee income beat, and a 1.2% core expense beat.
East West Bancorp's third-quarter results demonstrated a better-than-expected pace of repricing and stronger-than-anticipated balance sheet growth. This led to the reaffirmation of the company's NII guidance. In addition, the company's CEO, Dominic Ng, announced a net income of $299 million, or $2.14 per diluted share, marking a 1% quarter-over-quarter increase in average loans and a 3% rise in average deposits.
These recent developments also include a $20 million (4%) increase in the bank's net interest income from the previous quarter and a record fee income of $81 million, up 6% quarter-over-quarter. The bank anticipates a full-year loan growth of 2% to 4% and a similar decline in net interest income. East West Bancorp continues to navigate the current economic landscape effectively, prioritizing long-term stability and shareholder value.
InvestingPro Insights
While Director Rudolph Estrada's recent sale of East West Bancorp Inc. (NASDAQ:EWBC) shares may catch investors' attention, it's important to consider the broader financial picture of the company. According to InvestingPro data, EWBC boasts a market capitalization of $13.53 billion and a price-to-earnings ratio of 12.21, suggesting a relatively attractive valuation compared to industry peers.
The company's financial health appears robust, with InvestingPro Tips highlighting that EWBC has maintained dividend payments for 26 consecutive years and has raised its dividend for 7 consecutive years. This consistent dividend policy underscores the company's commitment to shareholder returns, which aligns with the high shareholder yield noted in another InvestingPro Tip.
Moreover, EWBC's stock performance has been impressive, with a strong return of 72.56% over the last year and trading near its 52-week high. This positive momentum is further supported by 10 analysts revising their earnings upwards for the upcoming period, as indicated by InvestingPro Tips.
For investors seeking a deeper understanding of EWBC's potential, InvestingPro offers 12 additional tips that could provide valuable insights into the company's prospects. These tips, along with real-time metrics and analysis, are available to InvestingPro subscribers, offering a comprehensive tool for informed investment decisions.
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