East West Bancorp (EWBC) Fundamental Analysis: Revenue, Earnings & Valuation

1.52 / 10

Underperform

EWBC's fundamentals are rated inadequate (1.5/10). Key concerns include subpar net profit attributable to shareholders ratio and PB-ROE, while only gross profit margin and total profit/EBIT show marginal strengths. Historical backtests indicate low to moderate one-month returns (3.05%–3.75%) for these factors, reinforcing a defensive stance. The stock's asset, revenue, and profit metrics relative to market value are also below par, further supporting a cautious view.

Analysis Checks(3/10)

Net assets per share (growth rate compared to beginning of year %)

Value15.95

Score2/3

Weight9.35%

1M Return3.75%

Revenue-MV

Value-0.66

Score0/3

Weight8.03%

1M Return3.16%

Net profit attributable to parent company shareholders / Net profit (%)

Value100.00

Score1/3

Weight7.43%

1M Return3.05%

Gross profit margin (%)

Value36.70

Score3/3

Weight8.48%

1M Return3.43%

Profit-MV

Value1.53

Score0/3

Weight12.11%

1M Return4.15%

Total profit (YoY growth rate %)

Value16.44

Score1/3

Weight8.29%

1M Return3.23%

PB-ROE

Value-0.85

Score1/3

Weight12.34%

1M Return4.93%

Total profit / EBIT (%)

Value100.00

Score3/3

Weight8.48%

1M Return3.43%

Asset-MV

Value-0.50

Score1/3

Weight17.63%

1M Return5.76%

Cash-MV

Value0.14

Score0/3

Weight7.85%

1M Return3.01%

Is EWBC fundamentally strong?

EWBC scores 1.52/10 on fundamentals and holds a Premium valuation at present. Backed by its 15.94% ROE, 45.20% net margin, 12.72 P/E ratio, 1.89 P/B ratio, and 14.18% earnings growth, these metrics solidify its Underperform investment rating.