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WAFD

Washington Federal NasdaqGS:WAFD Stock Report

Last Price

US$30.49

Market Cap

US$2.0b

7D

2.1%

1Y

-6.6%

Updated

26 Jun, 2022

Data

Company Financials +
WAFD fundamental analysis
Snowflake Score
Valuation5/6
Future Growth2/6
Past Performance4/6
Financial Health6/6
Dividends5/6

WAFD Stock Overview

Washington Federal, Inc. operates as the bank holding company for Washington Federal Bank, National Association that provides lending, depository, insurance, and other banking services in the United States.

Washington Federal Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Washington Federal
Historical stock prices
Current Share PriceUS$30.49
52 Week HighUS$38.06
52 Week LowUS$29.01
Beta0.75
1 Month Change-6.27%
3 Month Change-9.98%
1 Year Change-6.64%
3 Year Change-12.71%
5 Year Change-8.16%
Change since IPO425.45%

Recent News & Updates

May 12
Washington Federal (NASDAQ:WAFD) Has Announced A Dividend Of US$0.24

Washington Federal (NASDAQ:WAFD) Has Announced A Dividend Of US$0.24

The board of Washington Federal, Inc. ( NASDAQ:WAFD ) has announced that it will pay a dividend on the 3rd of June...

Shareholder Returns

WAFDUS BanksUS Market
7D2.1%3.7%6.6%
1Y-6.6%-17.7%-18.4%

Return vs Industry: WAFD exceeded the US Banks industry which returned -17.7% over the past year.

Return vs Market: WAFD exceeded the US Market which returned -18.4% over the past year.

Price Volatility

Is WAFD's price volatile compared to industry and market?
WAFD volatility
WAFD Average Weekly Movement3.6%
Banks Industry Average Movement3.8%
Market Average Movement8.1%
10% most volatile stocks in US Market16.6%
10% least volatile stocks in US Market3.2%

Stable Share Price: WAFD is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: WAFD's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19172,082Brent Beardallhttps://www.wafdbank.com

Washington Federal, Inc. operates as the bank holding company for Washington Federal Bank, National Association that provides lending, depository, insurance, and other banking services in the United States. The company offers deposit products, including business and personal checking accounts, and term certificates of deposit, as well as money market accounts and passbook savings accounts. It also provides single-family residential, construction, land acquisition and development, consumer lot, multi-family residential, commercial and industrial, commercial real estate, home equity, business and consumer loans.

Washington Federal Fundamentals Summary

How do Washington Federal's earnings and revenue compare to its market cap?
WAFD fundamental statistics
Market CapUS$1.99b
Earnings (TTM)US$184.81m
Revenue (TTM)US$598.84m

10.8x

P/E Ratio

1.1x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
WAFD income statement (TTM)
RevenueUS$598.84m
Cost of RevenueUS$0
Gross ProfitUS$598.84m
Other ExpensesUS$414.03m
EarningsUS$184.81m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.83
Gross Margin100.00%
Net Profit Margin30.86%
Debt/Equity Ratio79.7%

How did WAFD perform over the long term?

See historical performance and comparison

Dividends

3.1%

Current Dividend Yield

17%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

WAFD 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 Ratio0.9x

Price to Earnings Ratio vs Peers

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

WAFD PE Ratio vs Peers
The above table shows the PE ratio for WAFD vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average11.2x
FFBC First Financial Bancorp
9.4x4.4%US$1.9b
BANR Banner
9.7x5.7%US$1.9b
COLB Columbia Banking System
10.9x55.8%US$2.3b
TRMK Trustmark
14.7x10.3%US$1.8b
WAFD Washington Federal
10.8x11.6%US$2.0b

Price-To-Earnings vs Peers: WAFD is good value based on its Price-To-Earnings Ratio (10.8x) compared to the peer average (11.2x).


Price to Earnings Ratio vs Industry

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

Price-To-Earnings vs Industry: WAFD is expensive based on its Price-To-Earnings Ratio (10.8x) compared to the US Banks industry average (9.6x)


Price to Earnings Ratio vs Fair Ratio

What is WAFD'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.

WAFD PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.8x
Fair PE Ratio14x

Price-To-Earnings vs Fair Ratio: WAFD is good value based on its Price-To-Earnings Ratio (10.8x) compared to the estimated Fair Price-To-Earnings Ratio (14x).


Share Price vs Fair Value

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

Below Fair Value: WAFD ($30.49) is trading below our estimate of fair value ($57.52)

Significantly Below Fair Value: WAFD is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: WAFD is good value based on its PEG Ratio (0.9x)


Discover undervalued companies

Future Growth

How is Washington Federal forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


11.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WAFD's forecast earnings growth (11.6% per year) is above the savings rate (1.9%).

Earnings vs Market: WAFD's earnings (11.6% per year) are forecast to grow slower than the US market (13.9% per year).

High Growth Earnings: WAFD's earnings are forecast to grow, but not significantly.

Revenue vs Market: WAFD's revenue (10.6% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: WAFD's revenue (10.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WAFD's Return on Equity is forecast to be low in 3 years time (11.1%).


Discover growth companies

Past Performance

How has Washington Federal performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-1.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: WAFD has high quality earnings.

Growing Profit Margin: WAFD's current net profit margins (30.9%) are higher than last year (28.7%).


Past Earnings Growth Analysis

Earnings Trend: WAFD's earnings have declined by 1.7% per year over the past 5 years.

Accelerating Growth: WAFD's earnings growth over the past year (23%) exceeds its 5-year average (-1.7% per year).

Earnings vs Industry: WAFD earnings growth over the past year (23%) exceeded the Banks industry 20.7%.


Return on Equity

High ROE: WAFD's Return on Equity (9.1%) is considered low.


Discover strong past performing companies

Financial Health

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

Financial Health Score

6/6

Financial Health Score 6/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: WAFD's Assets to Equity ratio (9.4x) is low.

Allowance for Bad Loans: WAFD has a sufficient allowance for bad loans (509%).

Low Risk Liabilities: 89% of WAFD's liabilities are made up of primarily low risk sources of funding.

Loan Level: WAFD has an appropriate level of Loans to Assets ratio (73%).

Low Risk Deposits: WAFD's Loans to Deposits ratio (92%) is appropriate.

Level of Bad Loans: WAFD has an appropriate level of bad loans (0.2%).


Discover healthy companies

Dividend

What is Washington Federal current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.15%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: WAFD's dividend (3.15%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: WAFD's dividend (3.15%) is low compared to the top 25% of dividend payers in the US market (4.24%).


Stability and Growth of Payments

Stable Dividend: WAFD's dividends per share have been stable in the past 10 years.

Growing Dividend: WAFD's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Earnings Coverage: With its low payout ratio (16.8%), WAFD's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WAFD's dividends in 3 years are forecast to be well covered by earnings (28% payout ratio).


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.9yrs

Average management tenure


CEO

Brent Beardall (50 yo)

5.92yrs

Tenure

US$3,254,715

Compensation

Mr. Brent J. Beardall, CPA has been the Chief Executive Officer of Washington Federal, Inc. since April 1, 2017 and has been its President since July 26, 2016 and serves as its Vice Chairman since January...


CEO Compensation Analysis

Compensation vs Market: Brent's total compensation ($USD3.25M) is below average for companies of similar size in the US market ($USD5.47M).

Compensation vs Earnings: Brent's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: WAFD's management team is seasoned and experienced (5.9 years average tenure).


Board Members

Experienced Board: WAFD's board of directors are considered experienced (3.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Washington Federal, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Washington Federal, Inc.
  • Ticker: WAFD
  • Exchange: NasdaqGS
  • Founded: 1917
  • Industry: Regional Banks
  • Sector: Banks
  • Implied Market Cap: US$1.991b
  • Shares outstanding: 65.31m
  • Website: https://www.wafdbank.com

Number of Employees


Location

  • Washington Federal, Inc.
  • 425 Pike Street
  • Seattle
  • Washington
  • 98101
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/26 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2021/09/30


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.