Westamerica Bancorporation (NASDAQ:WABC) Hits New 52-Week High – Still a Buy?

Shares of Westamerica Bancorporation (NASDAQ:WABC) hit a new 52-week high during trading on Wednesday . The stock traded as high as $53.36 and last traded at $52.9850, with a volume of 10512 shares traded. The stock had previously closed at $52.63.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on the stock. Wall Street Zen lowered shares of Westamerica Bancorporation from a “hold” rating to a “sell” rating in a research report on Saturday. Keefe, Bruyette & Woods increased their target price on Westamerica Bancorporation from $53.00 to $55.00 and gave the company a “market perform” rating in a research note on Tuesday, January 20th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Westamerica Bancorporation in a report on Wednesday, January 21st. Three research analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $52.50.

Westamerica Bancorporation Stock Up 0.3%

The company has a debt-to-equity ratio of 0.14, a quick ratio of 0.29 and a current ratio of 0.26. The stock has a market cap of $1.32 billion, a price-to-earnings ratio of 11.69 and a beta of 0.62. The business’s 50 day moving average is $49.97 and its 200 day moving average is $48.91.

Westamerica Bancorporation (NASDAQ:WABC) last issued its earnings results on Thursday, January 15th. The financial services provider reported $1.12 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.07 by $0.05. Westamerica Bancorporation had a net margin of 42.75% and a return on equity of 12.52%. The company had revenue of $66.05 million during the quarter, compared to analyst estimates of $61.90 million. Equities analysts expect that Westamerica Bancorporation will post 4.35 earnings per share for the current year.

Westamerica Bancorporation Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, February 13th. Shareholders of record on Monday, February 2nd were given a $0.46 dividend. This represents a $1.84 annualized dividend and a yield of 3.5%. The ex-dividend date was Monday, February 2nd. Westamerica Bancorporation’s dividend payout ratio (DPR) is currently 40.71%.

Westamerica Bancorporation announced that its board has initiated a share repurchase plan on Thursday, December 18th that permits the company to buyback $2.00 million in outstanding shares. This buyback authorization permits the financial services provider to purchase up to 0.2% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s management believes its stock is undervalued.

Hedge Funds Weigh In On Westamerica Bancorporation

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. UBS Group AG grew its holdings in shares of Westamerica Bancorporation by 279.4% in the 4th quarter. UBS Group AG now owns 457,206 shares of the financial services provider’s stock valued at $21,868,000 after acquiring an additional 336,714 shares in the last quarter. Millennium Management LLC raised its position in shares of Westamerica Bancorporation by 101.3% in the third quarter. Millennium Management LLC now owns 399,197 shares of the financial services provider’s stock valued at $19,956,000 after purchasing an additional 200,884 shares during the period. American Century Companies Inc. lifted its position in Westamerica Bancorporation by 9.3% during the second quarter. American Century Companies Inc. now owns 2,019,329 shares of the financial services provider’s stock worth $97,816,000 after acquiring an additional 171,991 shares during the last quarter. Arrowstreet Capital Limited Partnership boosted its stake in Westamerica Bancorporation by 87.2% in the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 309,953 shares of the financial services provider’s stock valued at $15,014,000 after purchasing an additional 144,405 shares during the period. Finally, Assenagon Asset Management S.A. bought a new stake in shares of Westamerica Bancorporation in the third quarter valued at about $5,831,000. 81.89% of the stock is currently owned by institutional investors and hedge funds.

About Westamerica Bancorporation

Westamerica Bancorporation (NASDAQ: WABC) is a California-based bank holding company that provides a comprehensive suite of commercial banking, trust and wealth management services. Through its primary subsidiary, Westamerica Bank, the company offers deposit products, lending solutions and treasury management to a diverse clientele that includes small and mid-sized businesses, professionals, non-profit organizations and individuals.

The company’s lending portfolio encompasses commercial real estate financing, agricultural loans, equipment financing and lines of credit designed to support working capital needs.