East West Bancorp Stock Market Value

EWBC Stock  USD 79.11  0.14  0.18%   
East West's market value is the price at which a share of East West trades on a public exchange. It measures the collective expectations of East West Bancorp investors about its performance. East West is trading at 79.11 as of the 28th of March 2024, a -0.18 percent decrease since the beginning of the trading day. The stock's open price was 79.25.
With this module, you can estimate the performance of a buy and hold strategy of East West Bancorp and determine expected loss or profit from investing in East West over a given investment horizon. Check out East West Correlation, East West Volatility and East West Alpha and Beta module to complement your research on East West.
Symbol

East West Bancorp Price To Book Ratio

Is East West's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of East West. If investors know East will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about East West listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.29)
Dividend Share
1.92
Earnings Share
8.18
Revenue Per Share
16.734
Quarterly Revenue Growth
0.056
The market value of East West Bancorp is measured differently than its book value, which is the value of East that is recorded on the company's balance sheet. Investors also form their own opinion of East West's value that differs from its market value or its book value, called intrinsic value, which is East West's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because East West's market value can be influenced by many factors that don't directly affect East West's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between East West's value and its price as these two are different measures arrived at by different means. Investors typically determine if East West is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, East West's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

East West 'What if' Analysis

In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to East West's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of East West.
0.00
04/03/2023
No Change 0.00  0.0 
In 11 months and 27 days
03/28/2024
0.00
If you would invest  0.00  in East West on April 3, 2023 and sell it all today you would earn a total of 0.00 from holding East West Bancorp or generate 0.0% return on investment in East West over 360 days. East West is related to or competes with Citigroup, Canadian Imperial, Royal Bank, Toronto Dominion, Mitsubishi UFJ, Bank Of America, and Bank Of America. East West Bancorp, Inc. operates as the bank holding company for East West Bank that provides a range of personal and co... More

East West Upside/Downside Indicators

Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure East West's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess East West Bancorp upside and downside potential and time the market with a certain degree of confidence.

East West Market Risk Indicators

Today, many novice investors tend to focus exclusively on investment returns with little concern for East West's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as East West's standard deviation. In reality, there are many statistical measures that can use East West historical prices to predict the future East West's volatility.
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of East West's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Hype
Prediction
LowEstimatedHigh
77.2179.0480.87
Details
Intrinsic
Valuation
LowRealHigh
66.7168.5487.18
Details
Naive
Forecast
LowNextHigh
75.7977.6179.44
Details
14 Analysts
Consensus
LowTargetHigh
59.8365.7572.98
Details
Please note, it is not enough to conduct a financial or market analysis of a single entity such as East West. Your research has to be compared to or analyzed against East West's peers to derive any actionable benefits. When done correctly, East West's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in East West Bancorp.

East West Bancorp Backtested Returns

We consider East West very steady. East West Bancorp secures Sharpe Ratio (or Efficiency) of 0.1, which denotes the company had a 0.1% return per unit of risk over the last 3 months. We have found twenty-eight technical indicators for East West Bancorp, which you can use to evaluate the volatility of the firm. Please confirm East West's Coefficient Of Variation of 956.67, mean deviation of 1.38, and Downside Deviation of 1.66 to check if the risk estimate we provide is consistent with the expected return of 0.19%. East West has a performance score of 7 on a scale of 0 to 100. The firm shows a Beta (market volatility) of 1.39, which means a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, East West will likely underperform. East West Bancorp right now shows a risk of 1.83%. Please confirm East West Bancorp expected short fall, day median price, and the relationship between the potential upside and accumulation distribution , to decide if East West Bancorp will be following its price patterns.

Auto-correlation

    
  0.52  

Modest predictability

East West Bancorp has modest predictability. Overlapping area represents the amount of predictability between East West time series from 3rd of April 2023 to 30th of September 2023 and 30th of September 2023 to 28th of March 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of East West Bancorp price movement. The serial correlation of 0.52 indicates that about 52.0% of current East West price fluctuation can be explain by its past prices.
Correlation Coefficient0.52
Spearman Rank Test0.43
Residual Average0.0
Price Variance79.46

East West Bancorp lagged returns against current returns

Autocorrelation, which is East West stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting East West's stock expected returns. We can calculate the autocorrelation of East West returns to help us make a trade decision. For example, suppose you find that East West has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
   Current and Lagged Values   
       Timeline  

East West regressed lagged prices vs. current prices

Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If East West stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if East West stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in East West stock over time.
   Current vs Lagged Prices   
       Timeline  

East West Lagged Returns

When evaluating East West's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of East West stock have on its future price. East West autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, East West autocorrelation shows the relationship between East West stock current value and its past values and can show if there is a momentum factor associated with investing in East West Bancorp.
   Regressed Prices   
       Timeline  

East West Investors Sentiment

The influence of East West's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in East. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to East West's public news can be used to forecast risks associated with an investment in East. The trend in average sentiment can be used to explain how an investor holding East can time the market purely based on public headlines and social activities around East West Bancorp. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
East West's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for East West's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average East West's news discussions. The higher the estimated score, the more favorable is the investor's outlook on East West.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards East West in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, East West's short interest history, or implied volatility extrapolated from East West options trading.

Pair Trading with East West

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if East West position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in East West will appreciate offsetting losses from the drop in the long position's value.

Moving together with East Stock

  0.72C Citigroup Aggressive PushPairCorr
  0.77CM Canadian Imperial Bank Financial Report 23rd of May 2024 PairCorr
  0.68MUFG Mitsubishi UFJ Financial Financial Report 20th of May 2024 PairCorr
The ability to find closely correlated positions to East West could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace East West when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back East West - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling East West Bancorp to buy it.
The correlation of East West is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as East West moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if East West Bancorp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for East West can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching
When determining whether East West Bancorp offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of East West's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of East West Bancorp Stock. Outlined below are crucial reports that will aid in making a well-informed decision on East West Bancorp Stock:
Check out East West Correlation, East West Volatility and East West Alpha and Beta module to complement your research on East West.
Note that the East West Bancorp information on this page should be used as a complementary analysis to other East West's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.

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When running East West's price analysis, check to measure East West's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy East West is operating at the current time. Most of East West's value examination focuses on studying past and present price action to predict the probability of East West's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move East West's price. Additionally, you may evaluate how the addition of East West to your portfolios can decrease your overall portfolio volatility.
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East West technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of East West technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of East West trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...