WESTERN ALLIANCE BANCORP (WAL)
US9576381092 - Common Stock
WAL gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 412 industry peers in the Banks industry. WAL has a bad profitability rating. Also its financial health evaluation is rather negative. WAL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year WAL was profitable.
WAL had a negative operating cash flow in the past year.
Each year in the past 5 years WAL has been profitable.
The reported operating cash flow has been mixed in the past 5 years: WAL reported negative operating cash flow in multiple years.
1.2 Ratios
WAL's Return On Assets of 1.00% is fine compared to the rest of the industry. WAL outperforms 62.62% of its industry peers.
The Return On Equity of WAL (11.67%) is better than 76.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1% | ||
| ROE | 11.67% | ||
| ROIC | N/A |
ROA(3y)1.38%
ROA(5y)1.48%
ROE(3y)16.41%
ROE(5y)16.12%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of WAL (27.09%) is better than 66.02% of its industry peers.
In the last couple of years the Profit Margin of WAL has declined.
WAL does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 27.09% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-12.85%
PM growth 5Y-9.83%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
WAL does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for WAL has been increased compared to 1 year ago.
WAL has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, WAL has an improved debt to assets ratio.
2.2 Solvency
A Debt/Equity ratio of 0.32 indicates that WAL is not too dependend on debt financing.
WAL has a Debt to Equity ratio of 0.32. This is in the lower half of the industry: WAL underperforms 61.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC15.15%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
WAL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -17.42%.
The Earnings Per Share has been growing by 14.17% on average over the past years. This is quite good.
Looking at the last year, WAL shows a small growth in Revenue. The Revenue has grown by 3.10% in the last year.
Measured over the past years, WAL shows a very strong growth in Revenue. The Revenue has been growing by 22.26% on average per year.
EPS 1Y (TTM)-17.42%
EPS 3Y16.62%
EPS 5Y14.17%
EPS growth Q2Q-28.46%
Revenue 1Y (TTM)3.1%
Revenue growth 3Y28.39%
Revenue growth 5Y22.26%
Revenue growth Q2Q-2.71%
3.2 Future
Based on estimates for the next years, WAL will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.54% on average per year.
Based on estimates for the next years, WAL will show a quite strong growth in Revenue. The Revenue will grow by 9.45% on average per year.
EPS Next Y-0.8%
EPS Next 2Y9.03%
EPS Next 3Y12.54%
EPS Next 5YN/A
Revenue Next Year6.74%
Revenue Next 2Y8.15%
Revenue Next 3Y9.45%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.17 indicates a rather cheap valuation of WAL.
84.22% of the companies in the same industry are more expensive than WAL, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 24.76, WAL is valued rather cheaply.
WAL is valuated cheaply with a Price/Forward Earnings ratio of 7.23.
Based on the Price/Forward Earnings ratio, WAL is valued cheaper than 88.59% of the companies in the same industry.
WAL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.17 | ||
| Fwd PE | 7.23 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A more expensive valuation may be justified as WAL's earnings are expected to grow with 12.54% in the coming years.
PEG (NY)N/A
PEG (5Y)0.51
EPS Next 2Y9.03%
EPS Next 3Y12.54%
5. Dividend
5.1 Amount
WAL has a Yearly Dividend Yield of 2.67%.
Compared to an average industry Dividend Yield of 3.92, WAL is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.40, WAL has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.67% |
5.2 History
WAL has been paying a dividend for over 5 years, so it has already some track record.
WAL has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
24.17% of the earnings are spent on dividend by WAL. This is a low number and sustainable payout ratio.
DP24.17%
EPS Next 2Y9.03%
EPS Next 3Y12.54%
WESTERN ALLIANCE BANCORP
NYSE:WAL (4/19/2024, 7:23:50 PM)
After market: 57.78 +0.34 (+0.59%)57.44
+1.7 (+3.05%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap6.33B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.67% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.17 | ||
| Fwd PE | 7.23 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1% | ||
| ROE | 11.67% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 27.09% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-17.42%
EPS 3Y16.62%
EPS 5Y
EPS growth Q2Q
EPS Next Y-0.8%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.1%
Revenue growth 3Y28.39%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y