East West Bancorp Keeps Outperform Rating, PT Raised to $120 by KBW

East West Bancorp Keeps Outperform Rating, PT Raised to $120 by KBW

July 2, 2025

East West Bancorp (EWBC) has maintained its strong performance, as evidenced by the latest analyst ratings and financial results. The bank has seen its price target (PT) raised to $120 by KBW, reflecting continued optimism about its financial trajectory.

East West Bancorp reported robust second-quarter results, exceeding analyst expectations. The company achieved earnings per share (EPS) of $2.28, surpassing the forecast of $2.25, and revenue reached $705 million, higher than the anticipated $703.43 million [2]. The bank's strong performance is reflected in its impressive returns, with a 36.39% total return over the past year and a 15.25% return year-to-date [2].

The bank's solid financial health is underpinned by its relationship-driven model, which has supported consumer and commercial growth. East West Bancorp continues to optimize its deposit and asset strategies, contributing to its success [2]. The company's commercial and consumer banking sectors showed significant growth, reflecting the effectiveness of its relationship-driven approach [2].

Despite these positive results, East West Bancorp's stock experienced a slight decline of 0.9% in after-hours trading, closing at $107.5. This movement may reflect broader market trends or investor caution despite the earnings beat [2].

Looking ahead, East West Bancorp anticipates full-year loan growth between 4% and 6%, with net interest income and revenue expected to trend above 7%. The company plans continued investments in technological capabilities and team expansion to sustain growth momentum [2].

East West Bancorp's strong performance has been recognized by various analysts, including DA Davidson and Citi, who have raised their price targets for the stock [1]. DA Davidson raised its price target to $125, while Citi adjusted its target to $124 [1]. Both firms maintain a Buy rating on East West Bancorp shares.

The bank's focus on renewable energy tax credit investments and fee income capabilities is expected to drive future growth. However, tariff uncertainties and macroeconomic pressures may pose challenges to the company's operations [2].

References:
[1] https://www.investing.com/news/analyst-ratings/east-west-bancorp-stock-price-target-raised-to-125-from-115-at-da-davidson-93CH-4148603
[2] https://www.investing.com/news/transcripts/earnings-call-transcript-east-west-bancorp-tops-q2-2025-forecasts-with-strong-revenue-93CH-4147033