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Westamerica Bancorporation

Nasdaq:WABC
Snowflake Description

Flawless balance sheet established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WABC
Nasdaq
$2B
Market Cap
  1. Home
  2. US
  3. Banks
Company description

Westamerica Bancorporation operates as a bank holding company for Westamerica Bank that provides various banking products and services to individual and commercial customers. The last earnings update was 48 days ago. More info.


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WABC Share Price and Events
Price Volatility
WABC
Industry
5yr Volatility vs Market

WABC Value

 Is Westamerica Bancorporation undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Westamerica Bancorporation to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Westamerica Bancorporation.

NasdaqGS:WABC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= $23.34 * 10.3%
$2.40
Book Value of Equity per Share Weighted future Book Value estimates from 3 analysts. $23.34
Discount Rate (Cost of Equity) See below 9.8%
Perpetual Growth Rate 10-Year US Government Bond Rate 3%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:WABC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 3%
Equity Risk Premium S&P Global 7.1%
Banks Unlevered Beta Simply Wall St/ S&P Global 0.5
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.497 (1 + (1- 21%) (4.1%))
0.975
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.97
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.95% + (0.975 * 7.05%)
9.82%

Discounted Cash Flow Calculation for NasdaqGS:WABC using Excess Returns Model Model

The calculations below outline how an intrinsic value for Westamerica Bancorporation is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NasdaqGS:WABC Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (10.3% – 9.82%) * $23.34)
$0.10
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $0.10 / (9.82% - 2.95%)
$1.53
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $23.34 + $1.53
$24.87
NasdaqGS:WABC Discount to Share Price
Calculation Result
Value per share (USD) From above. $24.87
Current discount Discount to share price of $62.92
= -1 x ($62.92 - $24.87) / $24.87
-153%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Westamerica Bancorporation is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Westamerica Bancorporation's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Westamerica Bancorporation's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:WABC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-06-30) in USD $2.07
NasdaqGS:WABC Share Price ** NasdaqGS (2018-08-17) in USD $62.92
United States of America Banks Industry PE Ratio Median Figure of 842 Publicly-Listed Banks Companies 16.26x
United States of America Market PE Ratio Median Figure of 7,196 Publicly-Listed Companies 18.08x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Westamerica Bancorporation.

NasdaqGS:WABC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:WABC Share Price ÷ EPS (both in USD)

= 62.92 ÷ 2.07

30.44x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Westamerica Bancorporation is overvalued based on earnings compared to the US Banks industry average.
  • Westamerica Bancorporation is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Westamerica Bancorporation's expected growth come at a high price?
Raw Data
NasdaqGS:WABC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 30.44x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
13.3%per year
United States of America Banks Industry PEG Ratio Median Figure of 496 Publicly-Listed Banks Companies 1.2x
United States of America Market PEG Ratio Median Figure of 5,692 Publicly-Listed Companies 1.59x

*Line of best fit is calculated by linear regression .

NasdaqGS:WABC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 30.44x ÷ 13.3%

2.29x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Westamerica Bancorporation is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Westamerica Bancorporation's assets?
Raw Data
NasdaqGS:WABC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-06-30) in USD $21.99
NasdaqGS:WABC Share Price * NasdaqGS (2018-08-17) in USD $62.92
United States of America Banks Industry PB Ratio Median Figure of 863 Publicly-Listed Banks Companies 1.4x
United States of America Market PB Ratio Median Figure of 11,745 Publicly-Listed Companies 1.86x
NasdaqGS:WABC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:WABC Share Price ÷ Book Value per Share (both in USD)

= 62.92 ÷ 21.99

2.86x

* Primary Listing of Westamerica Bancorporation.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Westamerica Bancorporation is overvalued based on assets compared to the US Banks industry average.
X
Value checks
We assess Westamerica Bancorporation's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Banks industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Banks industry average (and greater than 0)? (1 check)
  5. Westamerica Bancorporation has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

WABC Future Performance

 How is Westamerica Bancorporation expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
13.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Westamerica Bancorporation expected to grow at an attractive rate?
  • Westamerica Bancorporation's earnings growth is expected to exceed the low risk savings rate of 3%.
Growth vs Market Checks
  • Westamerica Bancorporation's earnings growth is expected to exceed the United States of America market average.
  • Westamerica Bancorporation's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:WABC Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:WABC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 13.3%
NasdaqGS:WABC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 5%
United States of America Banks Industry Earnings Growth Rate Market Cap Weighted Average 9.4%
United States of America Banks Industry Revenue Growth Rate Market Cap Weighted Average 6.4%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 11.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 6.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:WABC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:WABC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 216 86 1
2019-12-31 204 80 3
2018-12-31 194 74 3
NasdaqGS:WABC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-06-30 192 90 55
2018-03-31 192 82 52
2017-12-31 190 81 50
2017-09-30 181 84 60
2017-06-30 183 82 61
2017-03-31 181 85 60
2016-12-31 182 78 59
2016-09-30 182 72 59
2016-06-30 180 72 58
2016-03-31 181 71 58
2015-12-31 182 70 59
2015-09-30 183 82 59

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Westamerica Bancorporation's earnings are expected to grow by 13.3% yearly, however this is not considered high growth (20% yearly).
  • Westamerica Bancorporation's revenue is expected to grow by 5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:WABC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from Westamerica Bancorporation Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:WABC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 3.25 3.25 3.25 1.00
2019-12-31 2.97 3.00 2.95 3.00
2018-12-31 2.73 2.75 2.69 4.00
NasdaqGS:WABC Past Financials Data
Date (Data in USD Millions) EPS *
2018-06-30 2.07
2018-03-31 1.99
2017-12-31 1.90
2017-09-30 2.31
2017-06-30 2.35
2017-03-31 2.31
2016-12-31 2.30
2016-09-30 2.31
2016-06-30 2.28
2016-03-31 2.29
2015-12-31 2.30
2015-09-30 2.31

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Westamerica Bancorporation is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Westamerica Bancorporation's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Westamerica Bancorporation has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

WABC Past Performance

  How has Westamerica Bancorporation performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Westamerica Bancorporation's growth in the last year to its industry (Banks).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Westamerica Bancorporation's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Westamerica Bancorporation's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Westamerica Bancorporation's 1-year earnings growth is negative, it can't be compared to the US Banks industry average.
Earnings and Revenue History
Westamerica Bancorporation's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Westamerica Bancorporation Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:WABC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-06-30 192.15 54.69 85.23
2018-03-31 191.97 52.48 84.38
2017-12-31 190.46 50.03 83.88
2017-09-30 180.69 60.32 83.71
2017-06-30 183.21 60.93 84.92
2017-03-31 181.39 59.68 84.95
2016-12-31 181.71 58.85 84.96
2016-09-30 182.09 58.98 84.79
2016-06-30 180.05 58.21 83.55
2016-03-31 181.24 58.42 84.60
2015-12-31 181.97 58.75 84.85
2015-09-30 183.23 59.20 85.62
2015-06-30 184.03 59.50 86.54
2015-03-31 184.65 59.90 86.70
2014-12-31 185.75 60.65 87.32
2014-09-30 187.98 61.67 88.85
2014-06-30 190.87 63.26 89.10
2014-03-31 194.70 65.21 89.41
2013-12-31 198.74 67.18 90.11
2013-09-30 203.58 70.26 89.31
2013-06-30 209.90 73.54 89.68
2013-03-31 215.53 77.39 90.72
2012-12-31 223.44 81.13 91.49
2012-09-30 231.11 83.80 93.04
2012-06-30 237.70 86.21 94.15
2012-03-31 244.97 86.51 95.35
2011-12-31 248.49 87.89 95.54
2011-09-30 252.02 89.81 97.04

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Westamerica Bancorporation has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Westamerica Bancorporation used its assets more efficiently than the US Banks industry average last year based on Return on Assets.
  • Westamerica Bancorporation has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Westamerica Bancorporation's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Banks industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Westamerica Bancorporation has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

WABC Health

 How is Westamerica Bancorporation's financial position? (This company is analysed differently as a bank or financial institution)

This company is a bank or financial institution.

Fundamentally a bank's business is based upon borrowing and lending money, for this reason they typically have high levels of debt and we analyse them differently.
Net Worth
Balance sheet
This treemap shows a more detailed breakdown of Westamerica Bancorporation's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Westamerica Bancorporation Company Filings, last reported 1 month ago.

NasdaqGS:WABC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-06-30 586.14 68.89 629.15
2018-03-31 582.08 65.36 555.61
2017-12-31 590.24 58.47 116.82
2017-09-30 603.96 66.34 561.76
2017-06-30 595.59 75.77 529.36
2017-03-31 584.89 73.61 546.82
2016-12-31 561.37 59.08 96.39
2016-09-30 563.00 56.36 471.37
2016-06-30 558.33 67.85 441.79
2016-03-31 538.97 52.45 471.16
2015-12-31 532.21 53.03 178.44
2015-09-30 533.94 57.06 268.59
2015-06-30 525.34 82.75 289.61
2015-03-31 527.38 82.96 247.45
2014-12-31 526.60 109.80 380.84
2014-09-30 533.40 97.10 524.34
2014-06-30 538.80 99.26 484.90
2014-03-31 540.88 94.82 428.84
2013-12-31 542.93 93.25 167.19
2013-09-30 541.84 98.45 388.58
2013-06-30 544.62 117.33 384.28
2013-03-31 558.98 112.60 355.46
2012-12-31 560.10 104.49 145.61
2012-09-30 558.84 106.49 337.96
2012-06-30 557.93 132.49 290.93
2012-03-31 559.53 157.65 511.10
2011-12-31 558.64 166.71 215.07
2011-09-30 553.99 162.00 459.75
BANK ANALYSIS

This company is a bank or financial institution, which is analysed accordingly below.

Below we check the amount of loans the bank has, how many of those are bad, and its ability to cover any bad loans.
  • Westamerica Bancorporation has an acceptable proportion of non-loan assets held.
  • Westamerica Bancorporation's liabilities are made up of primarily low risk sources of funding.
  • Loans at Westamerica Bancorporation are broadly funded by customer deposits.
  • Westamerica Bancorporation's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).
  • Westamerica Bancorporation has a sufficient allowance for bad loans.
  • Westamerica Bancorporation has an acceptable level of bad loans (less than 2%).
X
Financial health checks
We assess Westamerica Bancorporation's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Westamerica Bancorporation has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

WABC Dividends

 What is Westamerica Bancorporation's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.54%
Current annual income from Westamerica Bancorporation dividends. Estimated to be 2.58% next year.
If you bought $2,000 of Westamerica Bancorporation shares you are expected to receive $51 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Westamerica Bancorporation's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.47%).
  • Westamerica Bancorporation's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:WABC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
United States of America Banks Industry Average Dividend Yield Market Cap Weighted Average of 696 Stocks 4.1%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 5595 Stocks 3%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:WABC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 1.69 1.00
2019-12-31 1.62 3.00
2018-12-31 1.60 4.00
NasdaqGS:WABC Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2018-07-26 1.600 2.590
2018-04-26 1.600 2.750
2018-01-25 1.600 2.732
2017-10-26 1.600 2.708
2017-07-27 1.560 2.855
2017-04-27 1.560 2.865
2017-01-26 1.560 2.774
2016-10-27 1.560 2.641
2016-07-28 1.560 3.177
2016-04-28 1.560 3.250
2016-01-28 1.560 3.292
2015-10-22 1.560 3.406
2015-07-23 1.520 3.330
2015-04-23 1.520 3.190
2015-01-22 1.520 3.511
2014-10-23 1.520 3.174
2014-07-24 1.520 3.194
2014-04-24 1.520 3.010
2014-01-23 1.520 2.951
2013-10-24 1.520 2.798
2013-07-25 1.480 3.015
2013-04-25 1.480 3.246
2013-01-24 1.480 3.333
2012-10-25 1.480 3.453
2012-07-26 1.480 3.182
2012-04-26 1.480 3.243
2012-01-26 1.480 3.126
2011-10-27 1.480 3.354
2011-07-28 1.440 3.528
2011-04-28 1.440 2.942
2011-01-27 1.440 2.845
2010-10-28 1.440 2.730
2010-07-22 1.440 2.715
2010-04-22 1.440 2.598
2010-01-28 1.440 2.561
2010-01-21 1.410 2.460
2009-10-22 1.400 2.641
2009-07-23 1.400 2.730
2009-04-23 1.400 2.759
2009-01-22 1.440 3.302
2008-10-23 1.400 2.826
2008-08-18 1.400 2.623

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Westamerica Bancorporation's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.9x coverage).
X
Income/ dividend checks
We assess Westamerica Bancorporation's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Westamerica Bancorporation afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Westamerica Bancorporation has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

WABC Management

 What is the CEO of Westamerica Bancorporation's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
David Payne, image provided by Google.
David Payne
COMPENSATION $615,031
AGE 63
TENURE AS CEO 29.6 years
CEO Bio

Mr. David L. Payne serves as the Chairman and Chief Executive Officer at Westamerica Bancorporation since 1988 and 1989 respectively and serves as its President. Mr. Payne has been the Chairman of Westamerica Bancorporation. since 1988 and has been its Chief Executive Officer since 1989 and serves as its President. Mr. Payne serves as President and Chief Executive Officer of Gibson Printing and Publishing Company and Gibson Radio and Publishing Company. He joined Westamerica from his family printing, publishing and cable T.V. business. He served as Chief Operating Officer of Westamerica Bancorp. He has been a Director of Westamerica Bancorporation. since 1984. He serves as a Member of Advisory Board at Global Energy Investors, LLC. Mr. Payne was awarded the American Bankers Association's Community Banker of the Year for 2009. Mr. Payne has successfully negotiated and led the Company through many mergers including: John Muir National Bank, Napa Valley Bancorporation, PV Financial, CapitolBank – Sacramento, North Bay Bancorp, ValliCorp Holdings, First Counties Bank, Kerman State Bank, Redwood Empire Bancorp, County Bank, and Sonoma Valley Bank.

CEO Compensation
  • David's compensation has been consistent with company performance over the past year.
  • David's compensation appears reasonable for a company of this size and profit level.
Management Team

David Payne

TITLE
Chairman
COMPENSATION
$615K
AGE
63
TENURE
29.6 yrs

Robert Thorson

TITLE
Senior VP & CFO
COMPENSATION
$672K
AGE
58
TENURE
12.9 yrs

Dennis Hansen

TITLE
Senior VP of Operations & Systems and Division Manager
COMPENSATION
$548K
AGE
68

Russell Rizzardi

TITLE
Senior VP & Chief Credit Administrator of Westamerica Bank
COMPENSATION
$439K
AGE
63

Diane Cunningham

TITLE
Corporate Executive Secretary

Kris Irvine

TITLE
VP & Corporate Secretary

Curtis Belton

TITLE
Vice President & General Auditor
Board of Directors Tenure

Average tenure and age of the Westamerica Bancorporation board of directors in years:

30.6
Average Tenure
81.5
Average Age
  • The average tenure for the Westamerica Bancorporation board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

David Payne

TITLE
Chairman
COMPENSATION
$615K
AGE
63
TENURE
30.6 yrs

Ronald Nelson

TITLE
Director
COMPENSATION
$41K
AGE
75
TENURE
30.6 yrs

Edward Sylvester

TITLE
Lead Independent Director
COMPENSATION
$54K
AGE
81

Patrick Lynch

TITLE
Director
COMPENSATION
$43K
AGE
85
TENURE
32.6 yrs

E. Bowler

TITLE
Director
COMPENSATION
$37K
AGE
82
TENURE
15 yrs

Catherine MacMillan

TITLE
Director
COMPENSATION
$42K
AGE
71
TENURE
33.6 yrs

Etta Allen

TITLE
Director
COMPENSATION
$94K
AGE
88
TENURE
30.6 yrs

Louis Bartolini

TITLE
Director
COMPENSATION
$37K
AGE
86
TENURE
27.6 yrs
Recent Insider Trading
  • No 3 month insider trading information.
Who owns this company?
X
Management checks
We assess Westamerica Bancorporation's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap and profit (greater than 0.5% of the company's profit + 0.03% of market cap)? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Westamerica Bancorporation has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

WABC News

External News
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Simply Wall St News

Does Westamerica Bancorporation (NASDAQ:WABC) Have A Place In Your Portfolio?

Westamerica Bancorporation (NASDAQ:WABC) has pleased shareholders over the past 10 years, paying out an average dividend of 3.00% annually. … The company currently pays out a dividend yield of 2.53% to shareholders, making it a relatively attractive dividend stock. … 5 checks you should use to assess a dividend stock

Simply Wall St -

Interested In Westamerica Bancorporation (NASDAQ:WABC)’s Upcoming US$0.40 Dividend? You Have 2 Days Left

If you are interested in cashing in on Westamerica Bancorporation's (NASDAQ:WABC) upcoming dividend of US$0.40 per share, you only have 2 days left to buy the shares before its ex-dividend date, 03 August 2018, in time for dividends payable on the 17 August 2018. … 5 questions to ask before buying a dividend stock? … Will the company be able to keep paying dividend based on the future earnings growth

Simply Wall St -

Why You Need To Look At This Factor Before Buying Westamerica Bancorporation (NASDAQ:WABC)

The other type of risk, which cannot be diversified away, is market risk. … Every stock in the market is exposed to this risk, which arises from macroeconomic factors such as economic growth and geo-political tussles just to name a few. … The most widely used metric to quantify a stock's market risk is beta, and the market as a whole represents a beta of one.

Simply Wall St -

Can Westamerica Bancorporation (NASDAQ:WABC) Survive The Next Financial Crisis?

Westamerica Bancorporation’s (NASDAQ:WABC) profitability and risk are largely affected by the underlying economic growth for the region it operates in US given it is a small-cap stock with a market capitalisation of US$1.56b. … The Basel III reforms are aimed at banking regulations to improve financial institutions’ ability to absorb shocks caused by economic stress which could expose banks like Westamerica Bancorporation to vulnerabilities. … Low levels of leverage coupled with sufficient liquidity may place Westamerica Bancorporation in a safe position in the face of adverse headwinds.

Simply Wall St -

Should You Be Tempted To Sell Westamerica Bancorporation (NASDAQ:WABC) Because Of Its PE Ratio?

The content of this article will benefit those of you who are starting to educate yourself about investing in the stock market. … and want to begin learning the link between Westamerica Bancorporation (NASDAQ:WABC)’s fundamentals and stock market performance. … Although some investors may jump to the conclusion that you should avoid the stock or sell if you own it, understanding the assumptions behind the P/E ratio might change your mind

Simply Wall St -

What Does Westamerica Bancorporation's (NASDAQ:WABC) Share Price Indicate?

Westamerica Bancorporation (NASDAQ:WABC), operating in the financial services industry based in United States,. … Let’s take a look at Westamerica Bancorporation’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change … See our latest analysis for Westamerica Bancorporation

Simply Wall St -

Why Westamerica Bancorporation (NASDAQ:WABC) Should Have A Place In Your Portfolio

I've been keeping an eye on Westamerica Bancorporation (NASDAQ:WABC) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe WABC has a lot to offer. … Below, I've touched on some key aspects you should know on a high level

Simply Wall St -

3 Days Left To Cash In On Westamerica Bancorporation (NASDAQ:WABC) Dividend, Should You Buy?

Important news for shareholders and potential investors in Westamerica Bancorporation (NASDAQ:WABC): The dividend payment of $0.4 per share will be distributed into shareholder on 18 May 2018, and the stock will begin trading ex-dividend at an earlier date, 04 May 2018. … Check out our latest analysis for Westamerica Bancorporation 5 checks you should use to assess a dividend stock When assessing a stock as a potential addition to my dividend Portfolio, I look at these five areas: Is it the top 25% annual dividend yield payer? … Next Steps: Taking into account the dividend metrics, Westamerica Bancorporation ticks most of the boxes as a strong dividend investment, putting it in my list of top dividend payers.

Simply Wall St -

Should You Be Concerned About Westamerica Bancorporation’s (NASDAQ:WABC) Risks?

Today we will analyse Westamerica Bancorporation’s level of bad debt and liabilities in order to understand the risk involved with investing in the bank. … The ability for Westamerica Bancorporation to accurately forecast and provision for its bad loans shows it has a strong understanding of the level of risk it is taking on. … This may mean the bank is too cautious with its level of its safer form of borrowing and has plenty of headroom to take on risker forms of liability.Next Steps: Westamerica Bancorporation shows prudent management of risky assets and lending behaviour.

Simply Wall St -

Is Westamerica Bancorporation's (NASDAQ:WABC) ROE Of 10.34% Sustainable?

View our latest analysis for Westamerica Bancorporation Breaking down ROE — the mother of all ratios Return on Equity (ROE) is a measure of Westamerica Bancorporation’s profit relative to its shareholders’ equity. … Return on Equity = Net Profit ÷ Shareholders Equity ROE is measured against cost of equity in order to determine the efficiency of Westamerica Bancorporation’s equity capital deployed. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity NasdaqGS:WABC Last Perf Jan 18th 18 Basically, profit margin measures how much of revenue trickles down into earnings which illustrates how efficient the business is with its cost management.

Simply Wall St -

WABC Company Info

Map
Description

Westamerica Bancorporation operates as a bank holding company for Westamerica Bank that provides various banking products and services to individual and commercial customers. The company accepts various deposit products, including retail savings and checking accounts, as well as certificates of deposit to local businesses and professionals. Its loan portfolio includes commercial, commercial and residential real estate, real estate construction, and consumer installment loans, as well as other loans primarily consisting of indirect automobile loans. Westamerica Bancorporation operates through 82 branch offices in 21 counties in Northern and Central California. The company was formerly known as Independent Bankshares Corporation and changed its name to Westamerica Bancorporation in 1983. Westamerica Bancorporation was founded in 1972 and is headquartered in San Rafael, California.

Details
Name: Westamerica Bancorporation
WABC
Exchange: NasdaqGS
Founded: 1972
$1,678,948,766
26,671,148
Website: http://www.westamerica.com
Address: Westamerica Bancorporation
1108 Fifth Avenue,
San Rafael,
California, 94901,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS WABC Common Stock Nasdaq Global Select US USD 07. Oct 1974
DB WB1 Common Stock Deutsche Boerse AG DE EUR 07. Oct 1974
Number of employees
Current staff
Staff numbers
785
Westamerica Bancorporation employees.
Industry
Regional Banks
Banks
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2018/08/17 21:15
End of day share price update: 2018/08/17 00:00
Last estimates confirmation: 2018/07/25
Last earnings update: 2018/06/30
Last annual earnings update: 2017/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.