Zacks Research Has Optimistic Outlook of EWBC Q1 Earnings

East West Bancorp, Inc. (NASDAQ:EWBC) – Analysts at Zacks Research raised their Q1 2026 earnings per share estimates for shares of East West Bancorp in a research note issued to investors on Wednesday, January 21st. Zacks Research analyst Team now expects that the financial services provider will post earnings per share of $2.39 for the quarter, up from their prior forecast of $2.37. Zacks Research currently has a “Hold” rating on the stock. The consensus estimate for East West Bancorp’s current full-year earnings is $8.85 per share. Zacks Research also issued estimates for East West Bancorp’s Q2 2026 earnings at $2.47 EPS, Q3 2026 earnings at $2.55 EPS, Q4 2026 earnings at $2.50 EPS, FY2026 earnings at $9.91 EPS, Q1 2027 earnings at $2.53 EPS, Q2 2027 earnings at $2.61 EPS, Q3 2027 earnings at $2.81 EPS, Q4 2027 earnings at $2.68 EPS and FY2027 earnings at $10.64 EPS.

Other equities analysts have also issued research reports about the stock. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of East West Bancorp in a research note on Monday, December 29th. Deutsche Bank Aktiengesellschaft began coverage on East West Bancorp in a report on Tuesday, December 16th. They issued a “buy” rating and a $133.00 target price for the company. Keefe, Bruyette & Woods lifted their price target on East West Bancorp from $131.00 to $135.00 and gave the company an “outperform” rating in a report on Friday. Truist Financial set a $121.00 price objective on East West Bancorp in a research note on Friday. Finally, Morgan Stanley raised their price objective on East West Bancorp from $111.00 to $126.00 and gave the stock an “underperform” rating in a research report on Monday, September 29th. Ten analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $127.62.

East West Bancorp Stock Performance

East West Bancorp stock opened at $111.35 on Thursday. East West Bancorp has a fifty-two week low of $68.27 and a fifty-two week high of $119.73. The firm’s 50 day simple moving average is $111.90 and its 200-day simple moving average is $106.84. The company has a debt-to-equity ratio of 0.35, a current ratio of 0.89 and a quick ratio of 0.89. The company has a market cap of $15.32 billion, a P/E ratio of 11.70, a price-to-earnings-growth ratio of 1.22 and a beta of 0.88.

East West Bancorp (NASDAQ:EWBC) last posted its quarterly earnings data on Thursday, January 22nd. The financial services provider reported $2.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.48 by $0.04. East West Bancorp had a return on equity of 16.04% and a net margin of 28.36%.The firm had revenue of $754.92 million for the quarter, compared to the consensus estimate of $745.04 million. During the same quarter in the previous year, the company earned $2.10 EPS.

East West Bancorp Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, February 17th. Investors of record on Monday, February 2nd will be given a dividend of $0.80 per share. The ex-dividend date of this dividend is Monday, February 2nd. This is a positive change from East West Bancorp’s previous quarterly dividend of $0.60. This represents a $3.20 dividend on an annualized basis and a yield of 2.9%. East West Bancorp’s payout ratio is 26.46%.

Insider Transactions at East West Bancorp

In other news, COO Parker Shi sold 8,844 shares of East West Bancorp stock in a transaction dated Thursday, December 11th. The stock was sold at an average price of $115.03, for a total transaction of $1,017,325.32. Following the completion of the sale, the chief operating officer directly owned 14,950 shares in the company, valued at $1,719,698.50. The trade was a 37.17% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Vice Chairman Douglas Paul Krause sold 10,000 shares of the business’s stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $100.04, for a total value of $1,000,400.00. Following the completion of the sale, the insider directly owned 45,500 shares of the company’s stock, valued at approximately $4,551,820. The trade was a 18.02% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 73,344 shares of company stock valued at $8,184,226. Corporate insiders own 1.04% of the company’s stock.

Hedge Funds Weigh In On East West Bancorp

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Invesco Ltd. raised its position in shares of East West Bancorp by 38.5% in the second quarter. Invesco Ltd. now owns 10,683,377 shares of the financial services provider’s stock valued at $1,078,807,000 after purchasing an additional 2,968,716 shares during the period. Norges Bank bought a new stake in shares of East West Bancorp during the 2nd quarter worth $174,431,000. Boston Partners grew its stake in East West Bancorp by 39.6% in the 2nd quarter. Boston Partners now owns 3,241,088 shares of the financial services provider’s stock valued at $327,271,000 after buying an additional 920,159 shares during the last quarter. Sei Investments Co. raised its holdings in East West Bancorp by 448.5% in the 2nd quarter. Sei Investments Co. now owns 840,371 shares of the financial services provider’s stock worth $84,861,000 after acquiring an additional 687,145 shares during the period. Finally, AQR Capital Management LLC raised its holdings in East West Bancorp by 61.9% in the 2nd quarter. AQR Capital Management LLC now owns 1,418,174 shares of the financial services provider’s stock worth $143,207,000 after acquiring an additional 542,149 shares during the period. Institutional investors own 89.53% of the company’s stock.

More East West Bancorp News

Here are the key news stories impacting East West Bancorp this week:

• Positive Sentiment: Q4 results beat consensus — EWBC reported $2.52 EPS (vs. $2.48 est.) and revenues of $754.9M, showing year‑over‑year growth and a beat on both headline metrics. East West Bancorp (EWBC) Q4 Earnings and Revenues Top Estimates
• Positive Sentiment: Record full‑year results and bigger payout — East West reported record 2025 net income of $1.3B (diluted EPS $9.52) and increased the quarterly dividend 33% to $0.80/share, which supports income investors and signals confidence from management. Business Wire: East West Bancorp Reports Record Net Income for 2025
• Positive Sentiment: Analyst target uplift — Keefe, Bruyette & Woods raised its price target to $135 with an Outperform rating (roughly ~21% above the current level), indicating continued analyst bullishness on medium‑term upside. Benzinga
• Positive Sentiment: Zacks lifted forward EPS forecasts — Zacks updated multiple quarterly and FY2026/FY2027 EPS estimates higher, reflecting expectations for continued earnings growth (Zacks still carries a Hold rating). (See Zacks research notes for details.)
• Neutral Sentiment: Earnings call and full disclosure available — Management commentary and slides from the Q4 call are available for investors to review guidance, asset quality and expense drivers. Earnings Call Transcript
• Neutral Sentiment: Analyst ratings mix — while some price targets were raised, major research houses (e.g., Zacks) maintain a Hold rating; investors should read analyst notes for valuation assumptions and multiples.
• Negative Sentiment: Higher operating costs trimmed investor enthusiasm — coverage notes that non‑interest expenses rose year‑over‑year, which weighed on the stock despite the beat and contributed to the intraday selloff. EWBC Stock Dips Despite Q4 Earnings Beat, Revenues & Costs Rise Y/Y

About East West Bancorp

East West Bancorp, Inc is a bank holding company and the parent of East West Bank, one of the largest independent banks headquartered in Southern California. As a full-service commercial bank, it provides a broad range of financial products and services to business and individual customers, including commercial and residential real estate lending, working capital lines of credit, trade finance, and deposit and treasury management services. The company caters to both large and middle-market businesses, leveraging its expertise to serve clients engaged in cross-border trade and investment between the United States and Greater China.

Founded in Los Angeles in the early 1970s, East West Bank has grown steadily through organic expansion and strategic branch openings.