Western Alliance's Q4 net income rises 35% on loan growth

Western Alliance Bancorporation

27/01/2026 03:29

Overview

Bank's Q4 net income rose 35% yr/yr, driven by loan and deposit growth

Q4 EPS increased 32.8% yr/yr, reflecting strong financial performance

Company repurchased $57.5 mln in shares during Q4

Outlook

Western Alliance expects strong earnings trajectory in 2026

Result Drivers

LOAN AND DEPOSIT GROWTH - Co reported $2.0 bln loan growth and $10.8 bln deposit increase, boosting total assets to $93 bln

RECORD NET INTEREST INCOME - Co achieved record net interest income due to higher average interest-earning asset balances and lower rates on liabilities

NON-INTEREST INCOME INCREASE - Co's non-interest income rose due to higher service charges, fees, and gains on mortgage activities

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 EPS
$2.59
Q4 Net Income
$293.20 mln
Q4 Net Interest Income
$766.20 mln
Q4 Credit Loss Provision
-$73 mln
Q4 Net Interest Margin
3.51%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 15 "strong buy" or "buy", no "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy"

Wall Street's median 12-month price target for Western Alliance Bancorp is $100.00, about 13.1% above its January 26 closing price of $88.42

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nBwcdhL2ka

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)