Wrapping up Q4 earnings, we look at the numbers and key takeaways for the regional banks stocks, including East West Bank (NASDAQ: EWBC) and its peers.

Regional banks, financial institutions operating within specific geographic areas, serve as intermediaries between local depositors and borrowers. They benefit from rising interest rates that improve net interest margins (the difference between loan yields and deposit costs), digital transformation reducing operational expenses, and local economic growth driving loan demand. However, these banks face headwinds from fintech competition, deposit outflows to higher-yielding alternatives, credit deterioration (increasing loan defaults) during economic slowdowns, and regulatory compliance costs. Recent concerns about regional bank stability following high-profile failures and significant commercial real estate exposure present additional challenges.

The 95 regional banks stocks we track reported a satisfactory Q4. As a group, revenues beat analysts’ consensus estimates by 1.6%.

Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 6.7% since the latest earnings results.

East West Bank (NASDAQ: EWBC)

As the largest independent bank in the U.S. focused on bridging financial services between America and Asia, East West Bancorp (NASDAQ: EWBC) operates a commercial bank that provides personal and business banking services with a unique focus on facilitating U.S.-Asia cross-border transactions.

East West Bank reported revenues of $758.3 million, up 12.2% year on year. This print exceeded analysts’ expectations by 1.6%. Despite the top-line beat, it was still a mixed quarter for the company with a decent beat of analysts’ revenue estimates but a narrow beat of analysts’ EPS estimates.

Unsurprisingly, the stock is down 9.3% since reporting and currently trades at $104.62.

Is now the time to buy East West Bank? Access our full analysis of the earnings results here, it’s free.

Best Q4: Merchants Bancorp (NASDAQ: MBIN)

With a strategic focus on low-risk, government-backed lending programs, Merchants Bancorp (NASDAQCM:MBIN) is an Indiana-based bank holding company specializing in multi-family mortgage banking, mortgage warehousing, and traditional banking services.

Merchants Bancorp reported revenues of $185.3 million, down 4.4% year on year, outperforming analysts’ expectations by 7.8%. The business had a stunning quarter with a beat of analysts’ EPS estimates and an impressive beat of analysts’ net interest income estimates.

The market seems happy with the results as the stock is up 19.3% since reporting. It currently trades at $41.69.

Is now the time to buy Merchants Bancorp? Access our full analysis of the earnings results here, it’s free.

Weakest Q4: National Bank Holdings (NYSE: NBHC)

Operating under familiar local brands like Community Banks of Colorado, Bank Midwest, and Bank of Jackson Hole, National Bank Holdings (NYSE: NBHC) operates regional banks across Colorado, Kansas, Missouri, Wyoming, Texas, and other western states, offering commercial, business, and consumer banking services.

National Bank Holdings reported revenues of $102.6 million, down 3.7% year on year, falling short of analysts’ expectations by 2.7%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ net interest income estimates.

As expected, the stock is down 3% since the results and currently trades at $38.85.

Read our full analysis of National Bank Holdings’s results here.

Western Alliance Bancorporation (NYSE: WAL)

Operating through five distinct regional banking divisions across the western United States, Western Alliance Bancorporation (NYSE: WAL) provides commercial banking, treasury management, mortgage services, and specialized financial solutions through its banking divisions and subsidiaries.

Western Alliance Bancorporation reported revenues of $975.2 million, up 17% year on year. This result beat analysts’ expectations by 6.4%. Overall, it was a very strong quarter as it also produced an impressive beat of analysts’ revenue estimates and a solid beat of analysts’ tangible book value per share estimates.

The stock is down 23.5% since reporting and currently trades at $67.60.

Read our full, actionable report on Western Alliance Bancorporation here, it’s free.

TriCo Bancshares (NASDAQ: TCBK)

Founded in 1975 and headquartered in Chico, California, TriCo Bancshares (NASDAQ: TCBK) operates Tri Counties Bank, providing personal, small business, and commercial banking services through branches across California.

TriCo Bancshares reported revenues of $109.6 million, up 8.8% year on year. This print topped analysts’ expectations by 1.4%. Zooming out, it was a satisfactory quarter as it also recorded a decent beat of analysts’ net interest income estimates but a narrow beat of analysts’ EPS estimates.

The stock is down 6.6% since reporting and currently trades at $47.29.

Read our full, actionable report on TriCo Bancshares here, it’s free.

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