Short-term upside from earnings beat, but long-term headwinds from shrinking loan book and margin compression; monitor loan growth and net interest margin trends in next quarter
Price Chart
Executive Summary
Westamerica Bancorporation reported Q1 2026 EPS of $1.13, beating consensus of $1.07 by 5.6%, driven by a reversal of credit loss provision and lower tax expense. Revenue declined 6.6% YoY, with net interest income down due to lower loan yields and shrinking loan portfolio. The stock reacted positively to the earnings beat despite declining fundamentals.
Key Financial Metrics
Key Facts
- EPS of $1.13 beat consensus of $1.07 by 5.6%
- Net income of $27.4M down 11.9% YoY to $31.0M
- Net interest income (FTE) declined 6.6% YoY to $52.7M
- Loans down 10.3% YoY to $708.6M average balance
- Reversal of $300K provision for credit losses boosted EPS $0.01
- Tax provision (FTE) down 15.9% YoY to $9.3M
- 997K shares retired at average price $50.94
Financial Impact
EPS beat by $0.06, but underlying earnings power weakened with 6.6% revenue decline and 10.3% loan portfolio contraction
Risk Factors
- Continued loan portfolio contraction
- Margin compression with net interest margin down to 3.74% from 3.90% YoY
- Limited noninterest income growth and rising noninterest expenses
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3275593 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 22, 2026 5d ago | 8-K | $61.92 | awaiting T+5 | — | $61.55 (−0.60%) |
Oct 22, 2026 5d ago | Press Release | $61.92 | awaiting T+5 | — | $61.55 (−0.60%) |
Oct 15, 2026 12d ago | 8-K | $60.90 $61.92 | ▲ +1.67% | ▲ +2.69% | $61.55 (+1.07%) |
Oct 15, 2026 12d ago | Press Release | $60.90 $61.92 | ▲ +1.67% | ▲ +2.69% | $61.55 (+1.07%) |
Jul 23, 2026 13w ago | 8-K | $60.31 $59.90 | ▼ −0.68% | ▼ −1.16% | $61.55 (+2.06%) |
Jul 23, 2026 13w ago | Press Release | $60.31 $59.90 | ▼ −0.68% | ▼ −1.16% | $61.55 (+2.06%) |
Jul 16, 2026 14w ago | 8-K | $62.46 $60.31 | ▼ −3.44% | ▼ −1.77% | $61.55 (−1.46%) |
Jul 16, 2026 14w ago | Press Release | $62.46 $60.31 | ▼ −3.44% | ▼ −1.77% | $61.55 (−1.46%) |
Apr 24, 2026 26w ago | 8-K | $54.41 $54.25 | ▼ −0.30% | ▼ −0.70% | $61.55 (+13.12%) |
Apr 24, 2026 26w ago | Press Release | $54.54 $54.82 | ▲ +0.51% | ▼ −0.40% | $61.55 (+12.85%) |
US Market Status
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