Westamerica Story

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WABC -- USA Stock  

USD 54.46  0.26  0.48%

As many millenniums are excited about financial services space, it is only fair to go over Westamerica Bancorporation against current market trends. As we have suggested previously, Westamerica Bancorporation is beginning its slip as investors shift to be more bearish due to the increased sector volatility. Westamerica Bancorporation follows the market closely. The returns on the market and returns on Westamerica Bancorporation appear slightly correlated for the last few months. Strong basic indicators of the company may suggest signs of short-term price drift for investors. Westamerica Bancorporation is scheduled to announce its earnings today. The next earnings report is expected on the 21st of January 2021.
Published over a week ago
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Our current technical analysis of Westamerica Bancorporation (NASDAQ:WABC)
The company's average rating is Hold from 3 analysts. Do analysts base this consensus on technical analyses? We know that typical technical analysis utilizes price momentum, patterns, and trends looking at historical prices. It aims to identify signals based on Westamerica Bancorporation market sentiment investors' perception of the future value of Westamerica. Let us look at a few aspects of Westamerica technical analysis. The company has Profit Margin (PM) of 38.87 %, which can signify that it executes well on its competitive strategies and has good control over its expenditures. This is very large. Similarly, it shows Operating Margin (OM) of 51.26 %, which suggests for every 100 dollars of sales, it generated a net operating income of 0.51.
Using predictive technical analysis, we will analyze different prices and returns patterns and diagnose historical swings to determine the real value of Westamerica Bancorporation. In general, we focus on analyzing Westamerica Bancorporation stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Westamerica Bancorporation's daily price indicators and compare them against related drivers such as momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional technical analysis and fundamental analysis, we attempt to find the most accurate representation of Westamerica Bancorporation's intrinsic value. In addition to deriving basic predictive indicators for Westamerica Bancorporation, we also check how macroeconomic factors affect Westamerica Bancorporation price patterns. Please read more on our technical analysis page or use our predictive modules below to complement your research.

How does Westamerica Stands against Peers?

Analyzing Westamerica Bancorporation competition or peers my help you to expand the diversification possibilities of your existing portfolios and to get a better perspective on locking in new positions. Try to analyze the advantages of investing in traded instruments related to Westamerica Bancorporation across multiple sectors and thematic ideas. A good competitive analysis can cover a lot of different areas. But what areas to choose depends on who you are. The more exhaustive you are in your analysis, the more effective your competitive analysis will be.
Check out Westamerica Bancorporation Competition Details

How Westamerica utilizes its cash?

To perform a cash flow analysis of Westamerica Bancorporation, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Westamerica Bancorporation is receiving and how much cash it distributes out in a given period. The Westamerica Bancorporation cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Westamerica Bancorporation Net Cash Flow from Operations is projected to decrease significantly based on the last few years of reporting. The past year's Net Cash Flow from Operations was at 80.7 Million

Exercise or conversion by David Payne of tradable shares of Westamerica Bancorporation subject to Rule 16b-3

Legal trades by Westamerica Bancorporation insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Westamerica Bancorporation insider trading alert for exercise of non-qualified stock option (right to buy) by David Payne, Chairman President & CEO, on 22nd of June 2020. This event was filed by Westamerica Bancorporatio with SEC on 2008-02-04. Statement of changes in beneficial ownership - SEC Form 4. David Payne is currently serves as chairman, ceo and president ceo of westamerica bank and president of westamerica bank, chairman of westamerica bank and chairman of executive committee of Westamerica Bancorporation [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Closer look at Westamerica Bancorporation Semi Variance

Westamerica Bancorporation has current Semi Variance of 2.67. Semi-variance provides a good measure of downside volatility for equity or a portfolio. It is similar to variance, but it only looks at periods where the returns are less than the target or average level.

Semi-variance is the square of semi-deviation. Semi-variance is calculated by averaging the deviations of returns that have a result that is less than the mean.

Semi Variance 
 = 
SUM(RET DEV)2 
N(ZERO) 
 = 
2.67
SUM = Summation notation
RET DEV = Actual return deviation over selected period
N(ZERO) = Number of points with returns less than zero
Let's now compare Westamerica Bancorporation Semi Variance to its closest peers:
WABC
HDB
TFC
USB
WABC2.673388777755673
HDB1.84
TFC3.83
USB3.2

Another small slip for Westamerica Bancorporation

The total risk alpha is down to -0.21 as of today. As of the 15th of October 2020, Westamerica Bancorporation maintains the Downside Deviation of 1.67, market risk adjusted performance of 0.058, and Mean Deviation of 1.36. Relative to fundamental indicators, the technical analysis model lets you check existing technical drivers of Westamerica Bancorporation, as well as the relationship between them. Specifically, you can use this information to find out if the company will indeed mirror its model of past data patterns, or the prices will eventually revert. We were able to analyze nineteen technical drivers for Westamerica Bancorporation, which can be compared to its rivals. Please check out Westamerica Bancorporation value at risk, as well as the relationship between the semi variance and kurtosis to decide if Westamerica Bancorporation is priced fairly, providing market reflects its latest price of 54.87 per share. Given that Westamerica Bancorporation has jensen alpha of (0.06), we strongly advise you to confirm Westamerica Bancorporation's prevalent market performance to make sure the company can sustain itself at a future point.

Our Final Take On Westamerica Bancorporation

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. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily bases. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither pick up nor short any shares of Westamerica Bancorporation at this time. The Westamerica Bancorporation risk-reward trade off is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Westamerica Bancorporation.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Westamerica Bancorporation. Please refer to our Terms of Use for any information regarding our disclosure principles.

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