East West Bancorp Inc (EWBC) Fair Value & Analysis
Financial Services · US · Market cap $18.4B · ISIN US27579R1041
What is East West Bancorp Inc really worth?
East West Bancorp Inc
EWBC · US
A solid business, but trading 23% above our fair value of $105.97.
Strengths
Risks
For context
Fair value as of: Sep 1, 2026
From 6 valuation models · updated 4 days ago
Share price −2.1% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- Solid but not exceptional quality (62/100) and above fair value, neither a clear bargain nor a standout compounder.
- For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 1, 2026.
How to read this chart
60‑month range $38.13 – $136.60 · fair‑value band $79.48 – $132.46 · the $130.61 price screens above the $105.97 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 1, 2026.
Analysis
East West Bancorp Inc (EWBC) currently trades at $130.61, while our model-based Fair Value estimate is $105.97, implying the stock looks roughly 23.3% overvalued today. The Quality Score stands at 62/100 (solid quality), in the Financial Services sector. Bull case: the Multiples group reads highest at a median of $90.94 per share, and 0 of the 6 models we run sit above the $130.61 price. Bear case: the Dividend Discount group reads lowest at $39.25, and 6 of the 6 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, East West Bancorp Inc generated revenue of $2.8B at a net margin of 50.0%. Revenue grew 14.1% year over year. It earns a return on equity of 16.5%. Net debt stands at $2.5B. Fundamentals as of Sep 1, 2026
Our scenario range runs from $79.48 (bear case) to $132.46 (bull case); at $130.61, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 48% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −10% fair-value upside, at −19%, EWBC screens richer than that median.
Fair Value models
This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly $5.01 per share, which is 4.7 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 6 models by family
Widest divergence: Multiples ($90.94) versus Dividend Discount ($39.25). Highest evidence: Gordon GGM (66).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Sep 1, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 54 · Market factors (momentum, volatility) 67
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
East West Bancorp, Inc. operates as the bank holding company for East West Bank that provides a range of personal and commercial banking services to businesses and individuals in the United States. The company operates through three segments: Consumer and Business Banking, Commercial Banking, and Treasury and Other.
Full company description
East West Bancorp, Inc. operates as the bank holding company for East West Bank that provides a range of personal and commercial banking services to businesses and individuals in the United States. The company operates through three segments: Consumer and Business Banking, Commercial Banking, and Treasury and Other. It accepts various deposit products, such as personal and business checking and savings accounts, money market, and time deposits. The company provides various loan products, such as mortgage and home equity, commercial and residential real estate, construction finance, commercial business lending, working capital lines of credit, trade finance, letters of credit, affordable housing lending, asset-based lending, asset-backed finance, project finance, equipment financing, loan syndication, and equipment loans, as well as financing services for clients to facilitate their business transactions between the United States and Asia. It also provides foreign exchange, treasury management, wealth management, and interest rate and commodity risk hedging services; and mobile, and online banking services. The company was founded in 1973 and is headquartered in Pasadena, California.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
East West Bancorp Inc reported revenue of $4.7B in FY2025 versus $1.9B in FY2021, a compound +25.5%/yr. Reported net income was $1.3B in FY2025, compounding +11.0%/yr from FY2021.
of which total revenue +15.1 % · buybacks/dilution +0.3 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
EWBC screens 23% overvalued. Compare with DBS Group →
Earlier news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- East West Bancorp Announces Fall 2026 Conference Participation
- East West Bancorp (EWBC) Stock May Be A Bargain On Fair Value
- Is East West Bancorp (EWBC) Fully Valued As It Hits A New 52 Week High?
Peer Group
Banks - Regional · 1071 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Banks - Regional median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Insider activity: 45/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Sep 1, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| DBS Group D05 | 75.65 SGD | 40.48 SGD | −46% |
| China Merchants Bank Co 3968 | HK$47.96 | HK$76.51 | +60% |
| Intesa Sanpaolo S.p.A ISP | €6.78 | €5.66 | −17% |
| HDFC Bank Limited HDB | $23.17 | $24.12 | +4% |
| BNP Paribas SA BNP | €102.56 | €144.64 | +41% |
| UniCredit S.p.A UCG | €84.71 | €77.62 | −8% |
| Mizuho Financial Group MFG | $10.74 | $9.69 | −10% |
| ICICI Bank Limited ICICIBANK | ₹1,443 | ₹835.21 | −42% |
| Oversea-Chinese Banking Corporation O39 | 31.07 SGD | 19.80 SGD | −36% |
| CaixaBank, S.A CABK | €13.52 | €8.85 | −35% |
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