West Bancorp (WTBA): A Strong Candidate for Rising Earnings

West Bancorp (WTBA) may be a promising addition to your investment portfolio due to a significant increase in the company's earnings estimates. Recently, the stock has been on an upward trajectory, and this trend is expected to persist as the outlook for earnings continues to improve.

The positive momentum in earnings estimate revisions reflects a growing optimism among analysts regarding the earnings potential of this holding company for West Bank. Historically, there is a strong link between earnings estimate revisions and short-term stock price movements. This insight forms the basis of our stock rating tool known as the Zacks Rank.

The Zacks Rank utilizes a five-point scale, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and has a solid track record of performance. Zacks #1 Ranked stocks have delivered an average annual return of +25% since 2008.

For West Bancorp, the consensus earnings estimates for the upcoming quarter and the entire year have significantly increased, showing strong alignment among analysts in boosting their estimates.

12 Month Earnings Per Share (EPS)

The projected earnings of $0.40 per share for the current quarter marks a remarkable increase of +48.15% compared to the previous year's figures.

In the last 30 days, there has been one upward revision in estimates for West Bancorp, while there have been no negative adjustments. Consequently, the Zacks Consensus Estimate has risen by 21.21%.

Current-Year Earnings Estimates

The full-year earnings are now expected to reach $1.40 per share, reflecting a slight decrease of -2.78% from the prior year's figures.

The revision trends indicate encouraging signs for West Bancorp, with one estimate being raised in the past month against no reductions. The consensus estimate has also received a lift during this period, increasing by 7.69%.

Favorable Zacks Rank

These positive estimate revisions have led West Bancorp to achieve a Zacks Rank of #2 (Buy). The Zacks Rank serves as an effective tool for investors to capitalize on earnings estimate revisions and to make informed investment decisions. A complete list of today's Zacks #1 Rank (Strong Buy) stocks is readily available.

Our findings indicate that stocks rated Zacks Rank #1 (Strong Buy) or 2 (Buy) tend to substantially outperform the S&P 500 index.

Conclusion

Investors are increasingly showing confidence in West Bancorp due to its strong estimate revisions, as demonstrated by the stock's impressive 9.5% gain over the last month. With the potential for continued earnings growth, considering an addition of this stock to your portfolio might be a wise choice.

West, Bancorp, Stocks