Community West Bancshares Reports Quarterly Earnings, Misses Analyst Expectations

Community West Bancshares (NASDAQ:CWBC) released its quarterly earnings results on Thursday. The financial services provider reported earnings per share (EPS) of $0.30 for the quarter, which fell short of analysts' consensus estimate of $0.38 by $0.08, according to Zacks reports. The company generated revenue of $46.39 million for the quarter, significantly exceeding analyst projections of $33.21 million. Furthermore, Community West Bancshares achieved a net margin of 7.51% and a return on equity of 9.99%.

Stock Performance of Community West Bancshares

On Friday, Community West Bancshares shares saw a decline of $0.14 during trading, closing at $18.57. The trading volume accounted for 23,748 shares, in contrast to its average volume of 49,204 shares. Over the past year, the stock reached a low of $15.22 and a high of $24.47. The company reported a debt-to-equity ratio of 0.20, a current ratio of 0.80, and a quick ratio of 0.80. Its fifty-day moving average stands at $19.40, while the two-hundred-day moving average is $18.58. The market capitalization of Community West Bancshares is currently $350.42 million, with a price-to-earnings (P/E) ratio of 9.83 and a beta of 0.86.

Dividend Announcement by Community West Bancshares

The company recently declared a quarterly dividend payment scheduled for November 22nd. Shareholders recorded as of November 8th will receive a dividend of $0.12 per share, equating to an annualized dividend of $0.48 and a yield of 2.58%. The ex-dividend date is also set for November 8th. Community West Bancshares currently has a payout ratio of 25.40%.

Insider Activity at Community West Bancshares

In recent insider activity, EVP Patrick A. Luis sold 1,650 shares of the company’s stock on August 2nd, at an average price of $19.37, totaling $31,960.50. Post-sale, Luis retains 27,586 shares of Community West Bancshares, valued at approximately $534,340.82. This transaction resulted in a 0.00% change in his holdings. The details of this transaction were filed with the Securities & Exchange Commission, which can be accessed publicly. Corporate insiders hold 11.15% of the company's shares.

Changes in Analyst Ratings

Recently, Community West Bancshares has been the focus of various research reports. StockNews.com downgraded the stock from a "hold" rating to a "sell" rating on July 25th. On the other hand, Piper Sandler increased their price target on the stock from $22.00 to $24.00, assigning it an "overweight" rating on July 24th. In total, one analyst has issued a sell rating, another has assigned a hold rating, and two have rated the stock as a buy. According to MarketBeat data, Community West Bancshares has an average consensus rating of "Hold" and a price target averaging $20.33.

About Community West Bancshares

Community West Bancshares functions as the bank holding company for Community West Bank, N.A., providing a range of financial services in California. Their service offerings include deposit products like checking and savings accounts, money market accounts, as well as fixed-rate certificates of deposit, alongside cash management solutions.

Earnings, Stock, Dividend