Asset Breakdown
| Total Assets | 26.05 Billion | |
| Goodwill | 296.51 Million | |
| Tax Assets | 62.85 Million |
How much will Western Alliance owe in February?
 | By Rifka Kats | Macroaxis Story |
Western Alliance Ban is scheduled to announce its earnings today. The next earnings report is expected on the 15th of April 2021. Western Alliance Average Equity is relatively stable at the moment as compared to the past year. The company's current value of Average Equity is estimated at 1.39 Billion. Enterprise Value is expected to hike to about 3.8 B this year, although the value of Invested Capital will most likely fall to nearly 7.3 B. While some of us are becoming more enthusiastic about financial services space, let's summarize Western Alliance Bancorporation in greater detail to make a better estimate of its debt utilization. I will address a few possible reasons stakeholders do not currently respect this stock.
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Reviewed by Vlad Skutelnik
This firm has 820.07 M in debt with debt to equity (D/E) ratio of 0.23, which may show that the entity is not taking advantage of profits from borrowing. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Western Alliance has an asset utilization ratio of 7.22 percent. This denotes that the company is making $0.0722 for each dollar of assets. An increasing asset utilization means that Western Alliance Bancorporation is more efficient with each dollar of assets it utilizes for everyday operations. Western Alliance financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of Western Alliance, including all of Western Alliance's outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of Western Alliance assets, the company is considered highly leveraged. Understanding the composition and structure of overall Western Alliance debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business is and if it is worth investing in it. Please read more on our technical analysis page.
Understanding Western Total Liabilities
Western Alliance Ban liabilities are broken down into two parts on the balance sheet. These are short-term (or current) obligations and long-term debt. Western Alliance Ban has to fulfill its short-term liabilities in this reporting year and should be no more than 12 months old. Long-term debt, on the other hand, is anything beyond the 12-month payment timeframe. Common short-term liabilities found on Western Alliance balance sheet include debt obligations and money owed to different Western Alliance vendors, workers, and loan providers. Below is the chart of Western short long-term liabilities accounts currently reported on its balance sheet. You can use Western Alliance Bancorporation financial leverage analysis tool to get a better grip on understanding its financial positionHow important is Western Alliance's Liquidity
Western Alliance financial leverage refers to using borrowed capital as a funding source to finance Western Alliance Bancorporation ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Western Alliance financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Western Alliance's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Western Alliance's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown between Western Alliance's total debt and its cash.
Breaking down Western Alliance Indicators
The new price hike of Western Alliance Ban may raise some interest from stakeholders as it is trading at a share price of 69.38 on 1,005,214 in trading volume. The company directors and management may have good odds in positioning the company resources to exploit market volatility in February. The stock standard deviation of daily returns for 30 days investing horizon is currently 4.13. This high volatility is attributed to the latest market swings and not so good earnings reports for some of the Western Alliance Bancorporation partners.
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