Latest Ratios: P/E Ratio 13.0x · EV/EBITDA 6.0x · ROE 12.7%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $1.4B | $1.2B | $1.4B | $1.5B | $1.6B | $1.6B | $1.5B | $1.8B | $1.5B | $1.6B | $1.6B |
| Enterprise Value | $972M | $780M | $937M | $1.4B | $1.4B | $583M | $991M | $1.5B | $1.2B | $1.1B | $1.3B |
| P/E Ratio → | 12.97 | 10.56 | 10.09 | 9.31 | 13.00 | 17.93 | 18.55 | 22.74 | 20.85 | 31.51 | 27.48 |
| P/S Ratio | 5.08 | 4.37 | 4.50 | 4.60 | 5.95 | 7.16 | 7.17 | 8.88 | 7.45 | 8.10 | 8.85 |
| P/B Ratio | 1.56 | 1.27 | 1.57 | 1.95 | 2.64 | 1.88 | 1.76 | 2.50 | 2.42 | 2.67 | 2.88 |
| P/FCF | 11.54 | 9.94 | 10.01 | 9.59 | 14.06 | 17.75 | 14.12 | 23.86 | 15.93 | 20.16 | 21.31 |
| P/OCF | 11.32 | 9.75 | 9.89 | 9.52 | 13.96 | 17.48 | 13.83 | 22.68 | 15.42 | 19.48 | 20.81 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.87 | 3.01 | 4.25 | 5.12 | 2.69 | 4.76 | 7.45 | 5.86 | 5.74 | 6.97 |
| EV / EBITDA | 5.97 | 4.79 | 4.70 | 5.97 | 7.51 | 4.36 | 7.65 | 12.20 | 10.16 | 9.85 | 12.73 |
| EV / EBIT | 6.20 | 4.98 | 4.95 | 6.29 | 8.26 | 4.98 | 9.28 | 14.60 | 12.88 | 12.79 | 15.91 |
| EV / FCF | — | 6.52 | 6.70 | 8.87 | 12.11 | 6.67 | 9.39 | 20.02 | 12.53 | 14.29 | 16.77 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 95.2% | 95.2% | 94.3% | 99.2% | 99.3% | 99.1% | 97.1% | 99.1% | 99.0% | 100.0% | 100.6% |
| Operating Margin | 57.6% | 57.6% | 60.8% | 67.7% | 62.0% | 54.0% | 51.4% | 51.1% | 45.5% | 44.9% | 43.8% |
| Net Profit Margin | 42.7% | 42.7% | 44.6% | 49.4% | 45.7% | 39.9% | 38.7% | 39.0% | 35.8% | 25.7% | 32.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 12.7% | 12.7% | 16.7% | 23.5% | 17.1% | 10.3% | 10.2% | 11.9% | 11.9% | 8.7% | 10.8% |
| ROA | 1.9% | 1.9% | 2.2% | 2.4% | 1.7% | 1.2% | 1.3% | 1.4% | 1.3% | 0.9% | 1.1% |
| ROIC | 11.1% | 11.1% | 15.1% | 21.8% | 14.9% | 9.0% | 9.0% | 10.3% | 9.6% | 9.4% | 9.1% |
| ROCE | 16.3% | 16.3% | 21.3% | 29.6% | 21.1% | 12.6% | 12.5% | 15.7% | 15.6% | 15.7% | 15.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.17 | 0.17 | 0.16 | 0.10 | 0.12 | 0.20 | 0.14 | 0.11 | 0.17 | 0.20 | 0.21 |
| Debt / EBITDA | 0.98 | 0.98 | 0.69 | 0.33 | 0.40 | 1.23 | 0.94 | 0.63 | 0.89 | 1.03 | 1.18 |
| Net Debt / Equity | — | -0.44 | -0.52 | -0.15 | -0.37 | -1.17 | -0.59 | -0.40 | -0.52 | -0.78 | -0.61 |
| Net Debt / EBITDA | -2.51 | -2.51 | -2.32 | -0.49 | -1.21 | -7.24 | -3.86 | -2.34 | -2.75 | -4.04 | -3.44 |
| Debt / FCF | — | -3.41 | -3.31 | -0.72 | -1.95 | -11.07 | -4.74 | -3.84 | -3.40 | -5.87 | -4.54 |
| Interest Coverage | 11.43 | 11.43 | 10.85 | 56.96 | 86.02 | 59.86 | 58.55 | 55.73 | 46.45 | 45.88 | 37.79 |
Net cash position: cash ($568M) exceeds total debt ($160M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.43 | 0.43 | 0.39 | 0.77 | 0.75 | 0.89 | 0.82 | 0.71 | 0.62 | 0.57 | 0.49 |
| Quick Ratio | 0.43 | 0.43 | 0.39 | 0.77 | 0.75 | 0.89 | 0.82 | 0.71 | 0.62 | 0.57 | 0.49 |
| Cash Ratio | 0.11 | 0.11 | 0.12 | 0.03 | 0.05 | 0.17 | 0.11 | 0.08 | 0.08 | 0.12 | 0.10 |
| Asset Turnover | — | 0.05 | 0.05 | 0.05 | 0.04 | 0.03 | 0.03 | 0.04 | 0.04 | 0.04 | 0.03 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.2% | 3.9% | 3.4% | 3.1% | 2.8% | 2.9% | 3.0% | 2.4% | 2.9% | 2.6% | 2.5% |
| Payout Ratio | 40.4% | 40.4% | 33.9% | 28.4% | 37.0% | 51.2% | 55.1% | 54.7% | 59.6% | 82.6% | 67.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 7.7% | 9.5% | 9.9% | 10.7% | 7.7% | 5.6% | 5.4% | 4.4% | 4.8% | 3.2% | 3.6% |
| FCF Yield | 8.7% | 10.1% | 10.0% | 10.4% | 7.1% | 5.6% | 7.1% | 4.2% | 6.3% | 5.0% | 4.7% |
| Buyback Yield | 7.5% | 8.7% | 0.0% | 0.9% | 0.0% | 0.0% | 1.1% | 0.0% | 0.0% | 0.0% | 0.3% |
| Total Shareholder Yield | 10.7% | 12.7% | 3.4% | 4.0% | 2.9% | 2.9% | 4.1% | 2.4% | 2.9% | 2.6% | 2.8% |
| Shares Outstanding | — | $25M | $27M | $27M | $27M | $27M | $27M | $27M | $27M | $26M | $26M |
Regional economic concentration risk
According to current market data, Westamerica trades at a P/B of 1.57, which appears to command a premium valuation relative to regional peers despite the bank's reported 12.64% year-over-year revenue contraction and a modest return on equity that has drifted downward to 3.0% in recent quarters.
The market's willingness to assign a 1.57x P/B multiple suggests investors are pricing the bank as a defensive utility rather than a growth-oriented lender. This valuation disconnect warrants caution, as the current ROTCE expectations appear misaligned with the bank's shrinking loan book and persistent margin compression.
Based on the provided financial statements, Westamerica's ROE has compressed from 5.6% in 2023Q4 to 3.0% in 2026Q1, driven primarily by a narrowing net interest margin that has fallen to 0.9% as the bank struggles to deploy its substantial cash reserves into higher-yielding assets.
The DuPont decomposition indicates that profitability is being hampered by both declining asset utilization and a lack of leverage, as the bank maintains a conservative equity-to-assets ratio. Investors should monitor whether the bank's reliance on non-interest-bearing deposits can continue to offset the impact of a shrinking interest-earning asset base.
As reported in recent regulatory filings, Westamerica's efficiency ratio has deteriorated from 31.1% in 2023Q4 to 39.6% in 2026Q1, indicating that the bank's fixed-cost structure is becoming increasingly burdensome as top-line revenue faces significant downward pressure across its Northern California operating footprint.
The rise in the efficiency ratio suggests that the bank's historical cost advantage is being eroded by the lack of scale in its current lending environment. This trend implies that management may need to aggressively rationalize its branch footprint if revenue growth remains in negative territory.
Based on historical balance sheet figures, the equity-to-assets ratio has remained stable near 0.15, demonstrating a robust capital position that, while providing a significant buffer against regional economic shocks, may be under-leveraged and failing to maximize potential returns for shareholders in the current environment.
The bank's capital adequacy appears well above regulatory minimums, yet the persistent accumulation of cash suggests a lack of deployment opportunities. This capital-heavy posture may be viewed as a drag on ROE, warranting further investigation into whether management intends to increase capital returns via buybacks or dividends.
The market's reliance on P/E as a primary valuation metric for Westamerica obscures the impact of provision volatility and the bank's intentional balance sheet shrinkage, which can artificially inflate or deflate earnings in any given quarter regardless of the underlying franchise value.
Investors should prioritize P/TBV over P/E, as the latter fails to account for the quality of the loan portfolio and the significant unrealized losses potentially embedded in the securities portfolio. Relying on P/E ignores the structural reality that Westamerica is currently operating as a defensive yield play.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying WABC stock.
Westamerica Bancorporation's current P/E ratio is 13.0x. The historical average is 18.4x. This places it at the 10th percentile of its historical range.
Westamerica Bancorporation's current EV/EBITDA is 6.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 11.2x.
Westamerica Bancorporation's return on equity (ROE) is 12.7%. The historical average is 17.7%.
Based on historical data, Westamerica Bancorporation is trading at a P/E of 13.0x. This is at the 10th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Westamerica Bancorporation's current dividend yield is 3.21% with a payout ratio of 40.4%.
Westamerica Bancorporation has 95.2% gross margin and 57.6% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Westamerica Bancorporation's Debt/EBITDA ratio is 1.0x, indicating low leverage. A ratio below 2x is generally considered financially healthy.