Jennison Associates LLC Reduces Stake in East West Bancorp, Inc.

Jennison Associates LLC has reduced its holdings in East West Bancorp, Inc. (NASDAQ:EWBC) by 7.5% during the fourth quarter, as reported in its latest 13F filing with the SEC. Following this adjustment, the fund now owns 1,668,785 shares of the financial services provider's stock after selling 135,503 shares in the quarter. As of the most recent SEC filing, Jennison Associates LLC's stake in East West Bancorp is valued at approximately $159.80 million, accounting for about 1.20% of the company's total shares.

Receive Alerts on East West Bancorp:

Several other institutional investors and hedge funds have also recently made transactions involving shares of East West Bancorp. For instance, Capital Performance Advisors LLP established a new position in the company during the third quarter, valued at about $25,000. Wilmington Savings Fund Society FSB similarly acquired a new stake worth around $26,000. Additionally, UMB Bank n.a. increased its holdings in East West Bancorp by 362.8% in the third quarter, now holding 361 shares valued at $30,000 after buying an additional 283 shares in that time. Tobam also grew its stake by 131.7%, owning 482 shares valued at $40,000 after acquiring an additional 274 shares. Lastly, Transamerica Financial Advisors Inc. bought a new position worth approximately $79,000. Overall, institutional investors and hedge funds hold 89.53% of the company’s stock.

Insider Trading Activities

In related activities, Director Rudolph Estrada sold 469 shares of East West Bancorp stock in a transaction dated November 5th, at an average price of $98.04, totaling $45,980.76. After this transaction, the director holds 17,750 shares of the company, which are valued at about $1.74 million, reflecting a 2.57% decrease in their ownership. This transaction was disclosed through a filing with the SEC. Furthermore, Vice Chairman Douglas Paul Krause sold 12,000 shares on November 12th at an average price of $106.61, amounting to $1,279,320. Following this sale, Krause holds 45,403 shares valued at approximately $4.84 million, indicating a 20.90% decline in his position. Over the past quarter, insiders have sold a total of 14,469 shares, valued at approximately $1.53 million, with corporate insiders holding 1.04% of the stock at present.

Current Stock Performance

As of Monday, shares of East West Bancorp opened at $102.97. The company boasts a market capitalization of $14.27 billion, with a price-to-earnings (P/E) ratio of 12.36 and a price-to-earnings-growth (PEG) ratio of 1.37. The stock has a debt-to-equity ratio of 0.46, a current ratio of 0.91, and a quick ratio of 0.92. The moving averages stand at 50-day at $101.02 and 200-day at $92.12, with a one-year low of $67.27 and a high of $113.95.

Increase in Dividend

Recently, East West Bancorp announced an increase in its quarterly dividend, which is set to be paid on February 17th. Shareholders on record by February 3rd will receive a dividend of $0.60 per share, up from the previous quarterly rate of $0.55. This change represents an annualized dividend of $2.40, which reflects a yield of 2.33%. The ex-dividend date for this payment is also February 3rd. The dividend payout ratio (DPR) for East West Bancorp stands at 26.41%.

Analysts Provide Insights

Research analysts have recently reviewed East West Bancorp's performance. StockNews.com downgraded the stock from a "hold" rating to a "sell" rating as of January 24th. In contrast, Citigroup raised its price target for East West Bancorp from $103.00 to $109.00, maintaining a "buy" rating as of October 23rd. DA Davidson reduced their price target from $120.00 to $118.00 while keeping a "buy" rating. Truist Financial also increased its target price from $93.00 to $101.00 with a "buy" rating. Meanwhile, Piper Sandler adjusted its price target from $100.00 to $97.00 and set a "neutral" rating. Currently, one analyst has rated the stock as a sell, three as a hold, and ten analysts provide a buy rating. According to data from MarketBeat.com, East West Bancorp has an average rating of "Moderate Buy" with an average target price of $110.38.

About East West Bancorp

East West Bancorp, Inc. serves as the bank holding company for East West Bank and offers a variety of personal and commercial banking services to both individuals and businesses in the United States. The company operates through three main segments: Consumer and Business Banking, Commercial Banking, and Other.

Investment, Stock, Finance