West Bancorporation Q2 net income rises, dividend hits record

West Bancorporation, Inc.

West Bancorporation, Inc.

WTBA

0.00


Overview

  • US community bank's Q2 net income and EPS rose yr/yr and sequentially

  • Company raised quarterly dividend to record high

  • Net interest income and margin improved, driven by lower deposit costs and higher loan yields


Outlook

  • Company did not provide specific guidance or outlook for future quarters or the full year in its press release


Result Drivers

  • NET INTEREST INCOME - Co said higher average loan balances and increased loan yields drove improvement in net interest income and margin versus prior quarter

  • LOWER DEPOSIT COSTS - Co said decrease in deposit rates, following reduction in federal funds rate, reduced deposit costs and supported net interest margin improvement yr/yr

  • LOAN PAYOFFS - Co said notable loan payoffs from secondary market refinancings and asset and business sales led to slight decline in period-end loan balances


Company press release: ID:nGNXbRb6Zq


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 EPS

$0.64

Q2 Net Income

$11.10 mln

Q2 Net Interest Income

$25.50 mln

Q2 Adjusted Net Interest Margin

2.69%

Q2 Dividend

$0.26


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the banks peer group is "buy."

  • Wall Street's median 12-month price target for West Bancorporation Inc is $26.25, about 1.4% below its July 22 closing price of $26.62

  • The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 three months ago


Reuters Recommended Reads

  • July 22 - Origin Bancorp Q2 net interest income rises on higher loan balances and yields

  • July 20 - ServisFirst Bancshares Q2 EPS rises 40% on loan growth, higher net interest margin

  • July 23 - Bankwell Financial beats Q2 revenue estimates, raises 2026 net interest income guidance


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