Westamerica Buy Hold or Sell Recommendation

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WABC -- USA Stock  

Report: 16th of July 2020  

Given the investment horizon of 30 days, and your above average risk tolerance our recommendation regarding Westamerica Bancorporation is 'Strong Hold'. Macroaxis provides Westamerica Bancorporation buy hold or sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding WABC positions. The advice algorithm takes into account all of Westamerica Bancorporation available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from WABC buy-and-hold perspective. Check out Westamerica Bancorporation Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments please use Instant Ratings tool.

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Time Horizon

Risk Tolerance

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Sell Westamerica BancorporationBuy Westamerica Bancorporation
Strong Hold

Volatility

Hype Condition

Current Valuation

Odds of Distress

Analyst Consensus

Piotroski F Score

Financial Leverage

Inapplicable
For the selected time horizon Westamerica Bancorporation has a risk adjusted performance of (0.044105), jensen alpha of (0.06), total risk alpha of (0.36) and treynor ratio of 4.81
Our buy or sell recommendation module provides unbiased buy or sell advice that can be used to complement current average analyst sentiment on Westamerica Bancorporation. Our buy or sell recommendation engine provides an advice for the entity potential to grow from the perspective of an investor's risk tolerance and investing horizon. To make sure Westamerica Bancorporation is not overpriced, please check out all Westamerica Bancorporation fundamentals, including its revenue, total debt, price to earnings to growth, as well as the relationship between the net income and cash flow from operations . Given that Westamerica Bancorporation has a number of shares shorted of 1.48 M, we strongly advise you to confirm Westamerica Bancorporation market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevalent risk tolerance and investing horizon.

Westamerica Bancorporation Trading Alerts and Improvement Suggestions

Westamerica Bancorporation generates negative expected return over the last 30 days
Over 92.0% of the company outstanding shares are owned by institutional investors
Latest headline from MacroaxisInsider: Exercise or conversion by David Payne of 200 shares of Westamerica Bancorporation subject to Rule 16b-3

Westamerica Bancorporation current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Westamerica analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Westamerica analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Median Price65.00
Target Mean Price62.33
Recommendation Mean2.70
Target High Price65.00
Number Of Analyst Opinions3
Target Low Price57.00
Average Consensus Hold
The consensus estimates and target price estimation is comprised of individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Westamerica Bancorporation Returns Distribution Density

The chart of the probability distribution of Westamerica Bancorporation stock daily returns describes the distribution of returns around its average expected value. We use Westamerica Bancorporation' stock's Value At Risk and its Upside Potential as a relative measure of the distribution. The distribution of Westamerica Bancorporation returns is essential to provide solid investment advice for Westamerica Bancorporation stock.
Mean Return-0.05Value At Risk-3.81
Potential Upside3.88Standard Deviation2.41
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Westamerica Bancorporation historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Westamerica Bancorporation Cash Flow Accounts

2014201520162017201820192020 (projected)
Net Cash Flow from Financing121.76 M84.07 M148.85 M105.23 M2.22 M(105.27 M)(108.04 M)
Net Cash Flow from Investing(295.26 M)(102.26 M)(197.26 M)(73.26 M)(253.56 M)(22.3 M)(24.06 M)
Net Cash Flow from Operations82.31 M70.4 M77.64 M80.75 M96.63 M80.7 M96.23 M

Westamerica Bancorporation Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Westamerica Bancorporation or Westamerica Bancorporation sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Westamerica Bancorporation stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Westamerica stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
=-0.06
β
Beta against DOW=-0.01
σ
Overall volatility
=2.48
Ir
Information ratio =-0.13

Westamerica Bancorporation Volatility Alert

Westamerica Bancorporation exhibits very low volatility with skewness of -0.04 and kurtosis of -0.22. However, we advise investors to further study Westamerica Bancorporation technical indicators to make sure all market info is available and is reliable.
    
 Better Than Average     
    
 Worse Than Average Compare Westamerica Bancorporation to competition

Westamerica Bancorporation Fundamental Vs Peers

FundamentalsWestamerica BancorporationPeer Average
Return On Equity0.0014 %(0.31) %
Return On Asset0.0002 %(0.14) %
Profit Margin0.0034 %(1.27) %
Operating Margin51.22 %(5.51) %
Current Valuation1.45 B16.62 B
Shares Outstanding27.06 M571.82 M
Shares Owned by Insiders3.98 %10.09 %
Shares Owned by Institutions91.97 %39.21 %
Number of Shares Shorted1.48 M4.71 M
Price to Earning20.39 X28.72 X
Price to Book2.25 X9.51 X
Price to Sales7.99 X11.42 X
Revenue203.77 M9.43 B
Gross Profit203.77 M27.38 B
EBITDA131.19 M3.9 B
Net Income80.39 M570.98 M
Cash and Equivalents373.42 M2.7 B
Cash per Share13.80 X5.01 X
Total Debt30.93 M5.32 B
Debt to Equity0.0268 %48.70 %
Book Value Per Share16.41 X1.93 K
Cash Flow from Operations80.87 M971.22 M
Short Ratio8.18 X4.00 X
Earnings Per Share2.98 X3.12 X
Price to Earnings To Growth6.92 X4.89 X
Number of Employees73718.84 K
Beta0.69-0.15
Market Capitalization1.63 B19.03 B
Total Asset5.17 B29.47 B
Retained Earnings121.26 M9.33 B
Z Score12.68.72
Five Year Return2.83 %
Last Dividend Paid1.64
   Exercise or conversion by David Payne of tradable shares of Westamerica Bancorporation subject to Rule 16b-3 [view details]

Westamerica Bancorporation Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Westamerica . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution3071.299774
Daily Balance Of Power0.5319
Rate Of Daily Change1.013521
Day Median Price56.705
Day Typical Price56.543333
Market Facilitation Index0.0
Price Action Indicator(0.11)

About Westamerica Bancorporation Buy or Sell Advice

When is the right time to buy or sell Westamerica Bancorporation? Buying stocks such as Westamerica Bancorporation isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily bases. Although Westamerica Bancorporation investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply. Please read more on our stock advisor page.
 2017 2018 2019 2020 (projected)
Cash and Equivalents575 M420.28 M373.42 M455.76 M
Total Assets5.51 B5.57 B5.62 B5.15 B

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Check out Westamerica Bancorporation Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments please use Instant Ratings tool. Please also try Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Macroaxis is not a registered investment advisor or broker/dealer. All investments, including stocks, funds, ETFs, or cryptocurrencies, are speculative and involve substantial risk of loss. We encourage our investors to invest carefully. Much of our information is derived directly from data published by companies or submitted to governmental agencies which we believe are reliable, but are without our independent verification. Therefore, we cannot assure you that the information is accurate or complete. We do not in any way warrant or guarantee the success of any action you take in reliance on our statements or recommendations. Also, note that past performance is not necessarily indicative of future results. All investments carry risk, and all investment decisions of an individual remain the responsibility of that individual. There is no guarantee that systems, indicators, or signals will result in profits or that they will not result in losses. All investors are advised to fully understand all risks associated with any investing they choose to do. Hypothetical or simulated performance is not indicative of future results. We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown because hypothetical or simulated performance is not necessarily indicative of future results. For more information please visit our terms and condition page