Westamerica Bancorporation

NasdaqGS:WABC Stock Report

Mkt Cap: US$1.5b

We’ve recently updated our valuation analysis.

Westamerica Bancorporation Valuation

Is WABC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for WABC?

Other financial metrics that can be useful for relative valuation.

WABC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ratio1.3x

Price to Earnings Ratio vs Peers

How does WABC's PE Ratio compare to its peers?

The above table shows the PE ratio for WABC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average10.9x
BHLB Berkshire Hills Bancorp
15.7x9.2%US$1.4b
EGBN Eagle Bancorp
10.4x-0.3%US$1.5b
HOPE Hope Bancorp
6.9x-8.0%US$1.5b
NBTB NBT Bancorp
10.7x8.1%US$1.6b
WABC Westamerica Bancorporation
12.2x9.1%US$1.5b

Price-To-Earnings vs Peers: WABC is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the peer average (10.9x).


Price to Earnings Ratio vs Industry

How does WABC's PE Ratio compare vs other companies in the US Banks Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a6.2%
n/an/an/a

Price-To-Earnings vs Industry: WABC is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the US Banks industry average (9.6x)


Price to Earnings Ratio vs Fair Ratio

What is WABC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

WABC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio12.2x
Fair PE Ratio11.3x

Price-To-Earnings vs Fair Ratio: WABC is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the estimated Fair Price-To-Earnings Ratio (11.3x).


Share Price vs Fair Value

What is the Fair Price of WABC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: WABC ($55.23) is trading above our estimate of fair value ($51.75)

Significantly Below Fair Value: WABC is trading above our estimate of fair value.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst WABC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$55.23
US$70.00
+26.7%
13.0%US$80.00US$58.00n/a3
Jan ’24US$59.01
US$70.00
+18.6%
13.0%US$80.00US$58.00n/a3
Dec ’23US$61.56
US$70.00
+13.7%
13.0%US$80.00US$58.00n/a3
Nov ’23US$62.62
US$70.00
+11.8%
13.0%US$80.00US$58.00n/a3
Oct ’23US$52.29
US$68.33
+30.7%
10.8%US$75.00US$58.00n/a3
Sep ’23US$55.54
US$70.00
+26.0%
7.3%US$75.00US$63.00n/a3
Aug ’23US$59.87
US$70.00
+16.9%
7.3%US$75.00US$63.00n/a3
Jul ’23US$56.20
US$68.33
+21.6%
9.1%US$75.00US$60.00n/a3
Jun ’23US$60.00
US$70.33
+17.2%
5.2%US$75.00US$66.00n/a3
May ’23US$58.92
US$70.33
+19.4%
5.2%US$75.00US$66.00n/a3
Apr ’23US$60.59
US$67.67
+11.7%
8.5%US$75.00US$61.00n/a3
Mar ’23US$58.24
US$67.67
+16.2%
8.5%US$75.00US$61.00n/a3
Feb ’23US$58.18
US$67.67
+16.3%
8.5%US$75.00US$61.00n/a3
Jan ’23US$57.73
US$67.50
+16.9%
11.1%US$75.00US$60.00US$59.012
Dec ’22US$54.07
US$67.50
+24.8%
11.1%US$75.00US$60.00US$61.562
Nov ’22US$56.40
US$67.50
+19.7%
11.1%US$75.00US$60.00US$62.622
Oct ’22US$57.09
US$67.50
+18.2%
11.1%US$75.00US$60.00US$52.292
Sep ’22US$56.69
US$67.33
+18.8%
9.1%US$75.00US$60.00US$55.543
Aug ’22US$55.55
US$67.33
+21.2%
9.1%US$75.00US$60.00US$59.873
Jul ’22US$58.55
US$69.00
+17.8%
6.3%US$75.00US$65.00US$56.203
Jun ’22US$62.73
US$69.00
+10.0%
6.3%US$75.00US$65.00US$60.003
May ’22US$63.40
US$69.00
+8.8%
6.3%US$75.00US$65.00US$58.923
Apr ’22US$63.31
US$67.33
+6.4%
5.0%US$72.00US$64.00US$60.593
Mar ’22US$62.07
US$67.33
+8.5%
5.0%US$72.00US$64.00US$58.243
Feb ’22US$56.91
US$67.33
+18.3%
5.0%US$72.00US$64.00US$58.183
Jan ’22US$55.29
US$63.00
+13.9%
4.5%US$65.00US$59.00US$57.733

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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