Smead Capital Management Inc. Grows Position in Western Alliance Bancorporation $WAL

Smead Capital Management Inc. increased its holdings in Western Alliance Bancorporation (NYSE:WAL) by 16.8% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 1,556,943 shares of the financial services provider’s stock after acquiring an additional 223,707 shares during the quarter. Western Alliance Bancorporation makes up about 2.7% of Smead Capital Management Inc.’s investment portfolio, making the stock its 19th largest position. Smead Capital Management Inc.’s holdings in Western Alliance Bancorporation were worth $130,892,000 at the end of the most recent quarter.

Other hedge funds also recently added to or reduced their stakes in the company. Root Financial Partners LLC purchased a new stake in Western Alliance Bancorporation in the third quarter worth about $27,000. Community Bank N.A. purchased a new stake in Western Alliance Bancorporation in the third quarter worth about $37,000. Smartleaf Asset Management LLC lifted its stake in Western Alliance Bancorporation by 113.0% in the third quarter. Smartleaf Asset Management LLC now owns 443 shares of the financial services provider’s stock worth $39,000 after acquiring an additional 235 shares during the period. Leonteq Securities AG purchased a new stake in Western Alliance Bancorporation in the fourth quarter worth about $44,000. Finally, V Square Quantitative Management LLC purchased a new stake in Western Alliance Bancorporation in the fourth quarter worth about $45,000. 79.15% of the stock is owned by hedge funds and other institutional investors.

Western Alliance Bancorporation Stock Performance

WAL stock opened at $78.70 on Friday. The firm has a market cap of $8.59 billion, a price-to-earnings ratio of 9.16, a PEG ratio of 0.59 and a beta of 1.37. The firm has a 50-day simple moving average of $75.04 and a two-hundred day simple moving average of $81.68. Western Alliance Bancorporation has a one year low of $65.82 and a one year high of $97.23. The company has a debt-to-equity ratio of 0.88, a quick ratio of 0.81 and a current ratio of 0.86.

Western Alliance Bancorporation (NYSE:WAL) last released its quarterly earnings results on Tuesday, April 21st. The financial services provider reported $2.22 EPS for the quarter, beating the consensus estimate of $1.48 by $0.74. The business had revenue of $968.40 million during the quarter, compared to analyst estimates of $944.18 million. Western Alliance Bancorporation had a net margin of 17.03% and a return on equity of 13.58%. The company’s quarterly revenue was up 31.0% on a year-over-year basis. During the same period in the prior year, the firm posted $1.79 earnings per share. On average, equities analysts forecast that Western Alliance Bancorporation will post 9.87 EPS for the current fiscal year.

Western Alliance Bancorporation Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, May 29th. Shareholders of record on Thursday, May 14th will be given a dividend of $0.42 per share. This represents a $1.68 annualized dividend and a dividend yield of 2.1%. The ex-dividend date of this dividend is Thursday, May 14th. Western Alliance Bancorporation’s dividend payout ratio is presently 19.56%.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on WAL shares. UBS Group upped their price objective on shares of Western Alliance Bancorporation from $75.00 to $80.00 and gave the stock a “neutral” rating in a research note on Monday, April 27th. Wells Fargo & Company raised shares of Western Alliance Bancorporation from an “underweight” rating to an “equal weight” rating and lowered their price objective for the stock from $83.00 to $79.00 in a research note on Monday, March 9th. DA Davidson decreased their price target on shares of Western Alliance Bancorporation from $93.00 to $90.00 and set a “buy” rating for the company in a research report on Wednesday, May 13th. Keefe, Bruyette & Woods increased their price target on shares of Western Alliance Bancorporation from $93.00 to $94.00 and gave the company an “outperform” rating in a research report on Thursday, April 23rd. Finally, Barclays decreased their price target on shares of Western Alliance Bancorporation from $90.00 to $88.00 and set an “overweight” rating for the company in a research report on Tuesday, April 7th. Nine analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $92.93.

About Western Alliance Bancorporation

Western Alliance Bancorporation is a bank holding company headquartered in Phoenix, Arizona. Through its principal subsidiary, Western Alliance Bank, the company provides a range of banking services to commercial clients, entrepreneurs and real estate developers. As one of the largest regional banks in the western United States, it focuses on relationship-driven banking solutions tailored to niche industries and growing businesses.

The company’s core offerings include deposit products, treasury management and a variety of lending services.