East West Bancorp FY Non-GAAP EPS of $9.52 Beats Expectations
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 22 2026
0mins
Should l Buy EWBC?
Source: seekingalpha
- Earnings Performance: East West Bancorp reported a FY Non-GAAP EPS of $9.52, exceeding market expectations by $0.01, indicating stability in its profitability.
- Significant Revenue Decline: The company's FY revenue was $29,300, a staggering 99.9% year-over-year decline, missing the market expectation of $2.91 billion, highlighting substantial challenges in its operations.
- Rating Downgrade: Despite the downgrade, East West Bancorp is still viewed as a 'growth company at a reasonable price,' suggesting cautious optimism regarding its future growth potential in the market.
- Dividend Performance: The bank's commitment to dividend growth remains noteworthy, as it continues to focus on shareholder returns despite the significant revenue drop.
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Analyst Views on EWBC
Wall Street analysts forecast EWBC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for EWBC is 131.13 USD with a low forecast of 111.00 USD and a high forecast of 150.00 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
7 Buy
3 Hold
0 Sell
Moderate Buy
Current: 118.460
Low
111.00
Averages
131.13
High
150.00
Current: 118.460
Low
111.00
Averages
131.13
High
150.00
About EWBC
East West Bancorp, Inc. is a bank holding company that offers a full range of banking services to individuals and businesses through its subsidiary bank, East West Bank (the Bank). Its segments include Consumer and Business Banking, Commercial Banking, and Treasury and Other. The Consumer and Business Banking segment provides financial products and services to consumer and commercial customers through its domestic branch network and digital banking platforms. This segment also offers consumer and commercial deposits, mortgage and home equity loans, and other products and services. The Commercial Banking segment generates commercial loans and deposits. Commercial loan products include construction finance, commercial business lending, working capital lines of credit, trade finance, letters of credit, and others. Commercial deposit products and other financial services include treasury management, foreign exchange services, interest rate, and commodity risk hedging.
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.
- Earnings Expectations: East West Bancorp is expected to report Q4 earnings of $2.50 per share on January 22, reflecting a 19% year-over-year growth, indicating the company's ongoing potential for profitability.
- Revenue Forecast: The revenue estimate for Q4 stands at $747.09 million, showcasing market confidence in East West Bancorp's robust performance amid the current economic landscape.
- Historical Performance: Over the past two years, East West Bancorp has beaten EPS estimates 63% of the time and revenue estimates 75% of the time, demonstrating its success in managing market expectations.
- Estimate Revisions: In the last three months, EPS estimates have seen 14 upward revisions and revenue estimates have experienced 10 upward revisions, reflecting analysts' optimistic outlook on the company's future performance.
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- Performance Highlights: East West Bancorp reported fourth quarter net interest income of $658 million, showcasing strong financial performance and maintaining its competitive edge in a challenging market.
- Dividend Increase: The company raised its quarterly dividend from $0.60 to $0.80 per share, a 33% increase, demonstrating a commitment to shareholder returns and boosting investor confidence.
- Loan Growth Outlook: Management projects loan growth in 2026 to be between 5% and 7%, with continued strength in C&I and residential mortgage lending expected to support future profitability.
- Expense Management: Although operating expenses are anticipated to rise by 7% to 9%, the bank maintained an efficiency ratio of 34.5%, indicating effective cost control and resource allocation.
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- Significant Profit Growth: East West Bancorp reported a full-year net profit of $1.32 billion, representing a 14% increase from last year, with earnings per share rising from $8.33 to $9.52, indicating sustained profitability.
- Revenue Increase: The company's annual revenue grew by 12.3%, from $2.61 billion last year to $2.93 billion, reflecting strong business expansion and market demand.
- Strong Financial Performance: The improvement in East West Bancorp's profitability is closely linked to effective cost control and risk management strategies, ensuring continued profit growth in a competitive market.
- Optimistic Market Outlook: With economic recovery and rising interest rates, East West Bancorp expects to benefit from increased loan demand and improved interest margins, further driving performance growth.
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- Significant Profit Growth: East West Bancorp reported a Q4 2025 net income of $356 million, or $2.55 per share, marking a substantial increase from $293 million and $2.10 per share in the same quarter last year, which reflects strong profitability trends and boosts investor confidence.
- Annual Performance Improvement: The full-year net income for 2025 reached $1.3 billion, with a diluted earnings per share of $9.52, compared to $1.17 billion and $8.33 per share in 2024, indicating the company's sustained growth potential in core banking operations.
- Revenue Growth Drivers: Total revenue for 2025 rose approximately 12% to $2.93 billion from $2.61 billion in the prior year, primarily driven by growth in net interest income, fees, and non-interest income, showcasing the company's success in diversifying its revenue streams.
- Strong Dividend Signal: The board declared a 33% increase in the quarterly dividend to $0.80 per share, signaling confidence in the company's capital strength and future growth, while also attracting more investor attention to the company's long-term value.
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- Earnings Beat: East West Bancorp reported a FY Non-GAAP EPS of $9.52, exceeding market expectations by $0.01, indicating the company's stability and resilience in profitability, which enhances investor confidence.
- Significant Revenue Growth: The company achieved FY revenue of $2.93 billion, marking a 12% year-over-year increase, reflecting its competitive position in the market and ongoing growth potential, likely attracting more investor interest.
- Dividend Growth Potential: Despite facing a rating downgrade, East West Bancorp is still viewed as a dividend growth company, indicating its ability to provide stable returns, which may appeal to income-seeking investors.
- Reasonable Valuation: East West Bancorp is considered to offer growth opportunities at a reasonable price, demonstrating its attractiveness in the current market environment and potentially providing value for long-term investors.
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- Earnings Performance: East West Bancorp reported a FY Non-GAAP EPS of $9.52, exceeding market expectations by $0.01, indicating stability in its profitability.
- Significant Revenue Decline: The company's FY revenue was $29,300, a staggering 99.9% year-over-year decline, missing the market expectation of $2.91 billion, highlighting substantial challenges in its operations.
- Rating Downgrade: Despite the downgrade, East West Bancorp is still viewed as a 'growth company at a reasonable price,' suggesting cautious optimism regarding its future growth potential in the market.
- Dividend Performance: The bank's commitment to dividend growth remains noteworthy, as it continues to focus on shareholder returns despite the significant revenue drop.
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