Community West Bancshares Reports Quarterly Earnings, Falls Short of Expectations

Community West Bancshares (NASDAQ:CWBC) reported its quarterly earnings results on Thursday, revealing earnings of $0.30 per share (EPS) for the quarter. This result fell short of analysts’ expectations, which had predicted an EPS of $0.38, marking a miss of $0.08. According to reports, the company generated a revenue of $46.39 million for the period, significantly exceeding analyst projections of $33.21 million. Additionally, Community West Bancshares showcased a net margin of 7.51% and a return on equity of 9.99% for the quarter.

Community West Bancshares Stock Performance

Following the earnings announcement, Community West Bancshares stock experienced a decline, dropping by $0.14 during trading on Friday to reach $18.57. The trading volume for the day was recorded at 23,748 shares, which is below its average volume of 49,204 shares. The stock has seen a range in the last fifty-two weeks, hitting a low of $15.22 and a high of $24.47. The company holds a debt-to-equity ratio of 0.20 and both a current and quick ratio of 0.80. Its fifty-day moving average is $19.40, while the two-hundred-day moving average stands at $18.58. With a market capitalization of approximately $350.42 million, the stock holds a P/E ratio of 9.83 and a beta of 0.86.

Dividend Announcement by Community West Bancshares

The firm has also announced a quarterly dividend distribution, which is scheduled for payment on Friday, November 22nd. Shareholders on record as of Friday, November 8th, will receive a dividend of $0.12 per share, totaling an annualized dividend of $0.48, accompanied by a yield of 2.58%. The ex-dividend date set for this payment is Friday, November 8th. Currently, Community West Bancshares has a payout ratio of 25.40%.

Insider Transactions at Community West Bancshares

In related news, Patrick A. Luis, an executive vice president at Community West Bancshares, sold 1,650 shares of the company’s stock on August 2nd. The shares were sold at an average price of $19.37, amounting to a total of $31,960.50. Post-transaction, the executive vice president retains 27,586 shares, valued at approximately $534,340.82. This transaction was revealed in a filing with the Securities and Exchange Commission. It is noteworthy that corporate insiders possess 11.15% of the company’s shares.

Changes in Analyst Ratings

The stock has garnered attention in several research reports recently. StockNews.com downgraded Community West Bancshares from a "hold" rating to a "sell" rating in a report issued on July 25th. Conversely, Piper Sandler increased its price target for the stock from $22.00 to $24.00, assigning it an "overweight" rating in a report released the previous day. At present, one analyst has issued a sell rating, one holds the stock, and two have given it buy ratings. As per information from MarketBeat, Community West Bancshares currently has a consensus rating of "Hold" and an average price target of $20.33.

Company Overview

Community West Bancshares Profile

Community West Bancshares serves as the bank holding company for Community West Bank, N.A., providing a range of financial products and services primarily in California. Its offerings include various deposit products such as checking accounts, savings accounts, money market accounts, and certificates of deposit, as well as cash management solutions.

earnings, stocks, finance