Westamerica Bancorporation (NASDAQ:WABC) Sees Large Decline in Short Interest

Westamerica Bancorporation (NASDAQ:WABC) was the recipient of a large drop in short interest in January. As of January 15th, there was short interest totaling 396,990 shares, a drop of 17.5% from the December 31st total of 481,160 shares. Currently, 1.7% of the company’s shares are short sold. Based on an average daily volume of 145,118 shares, the days-to-cover ratio is currently 2.7 days. Based on an average daily volume of 145,118 shares, the days-to-cover ratio is currently 2.7 days. Currently, 1.7% of the company’s shares are short sold.

Analysts Set New Price Targets

Several research analysts have commented on the stock. Wall Street Zen upgraded shares of Westamerica Bancorporation from a “sell” rating to a “hold” rating in a report on Saturday, January 17th. Keefe, Bruyette & Woods raised their price objective on shares of Westamerica Bancorporation from $53.00 to $55.00 and gave the stock a “market perform” rating in a research note on Tuesday, January 20th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Westamerica Bancorporation in a research note on Wednesday, January 21st. Three equities research analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $52.50.

Institutional Investors Weigh In On Westamerica Bancorporation

Hedge funds and other institutional investors have recently made changes to their positions in the company. American Century Companies Inc. lifted its holdings in shares of Westamerica Bancorporation by 9.3% during the 2nd quarter. American Century Companies Inc. now owns 2,019,329 shares of the financial services provider’s stock valued at $97,816,000 after buying an additional 171,991 shares during the last quarter. Dimensional Fund Advisors LP raised its position in Westamerica Bancorporation by 0.7% during the third quarter. Dimensional Fund Advisors LP now owns 894,194 shares of the financial services provider’s stock valued at $44,700,000 after acquiring an additional 6,473 shares in the last quarter. UBS Group AG lifted its stake in Westamerica Bancorporation by 279.4% in the fourth quarter. UBS Group AG now owns 457,206 shares of the financial services provider’s stock valued at $21,868,000 after acquiring an additional 336,714 shares during the last quarter. Millennium Management LLC lifted its stake in Westamerica Bancorporation by 101.3% in the third quarter. Millennium Management LLC now owns 399,197 shares of the financial services provider’s stock valued at $19,956,000 after acquiring an additional 200,884 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership grew its position in Westamerica Bancorporation by 87.2% in the second quarter. Arrowstreet Capital Limited Partnership now owns 309,953 shares of the financial services provider’s stock worth $15,014,000 after acquiring an additional 144,405 shares in the last quarter. 81.89% of the stock is owned by hedge funds and other institutional investors.

Westamerica Bancorporation Stock Performance

WABC stock opened at $50.58 on Monday. The company has a debt-to-equity ratio of 0.14, a quick ratio of 0.29 and a current ratio of 0.26. The stock has a market cap of $1.26 billion, a P/E ratio of 11.19 and a beta of 0.62. The firm has a 50 day simple moving average of $49.06 and a 200 day simple moving average of $48.68. Westamerica Bancorporation has a 52 week low of $42.00 and a 52 week high of $52.84.

Westamerica Bancorporation (NASDAQ:WABC) last released its quarterly earnings data on Thursday, January 15th. The financial services provider reported $1.12 earnings per share for the quarter, beating the consensus estimate of $1.07 by $0.05. The firm had revenue of $66.05 million for the quarter, compared to analyst estimates of $61.90 million. Westamerica Bancorporation had a net margin of 42.75% and a return on equity of 12.52%. Research analysts anticipate that Westamerica Bancorporation will post 4.35 earnings per share for the current fiscal year.

Westamerica Bancorporation announced that its board has initiated a share repurchase plan on Thursday, December 18th that permits the company to buyback $2.00 million in shares. This buyback authorization permits the financial services provider to reacquire up to 0.2% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s management believes its shares are undervalued.

Westamerica Bancorporation Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, February 13th. Investors of record on Monday, February 2nd will be issued a dividend of $0.46 per share. This represents a $1.84 annualized dividend and a dividend yield of 3.6%. The ex-dividend date is Monday, February 2nd. Westamerica Bancorporation’s dividend payout ratio (DPR) is currently 40.71%.

About Westamerica Bancorporation

Westamerica Bancorporation (NASDAQ: WABC) is a California-based bank holding company that provides a comprehensive suite of commercial banking, trust and wealth management services. Through its primary subsidiary, Westamerica Bank, the company offers deposit products, lending solutions and treasury management to a diverse clientele that includes small and mid-sized businesses, professionals, non-profit organizations and individuals.

The company’s lending portfolio encompasses commercial real estate financing, agricultural loans, equipment financing and lines of credit designed to support working capital needs.