NYSE
WAL
Last Price
US $81.74
KEY FIGURES
MKT CAP
$8.9B
EPS
TTM
$9.14
EPS Growth (1Y)
23.13%
PEG
TTM
0.77x
P/E
TTM
8.95x
P/S
TTM
1.73x
YIELD
2.06%
GROWTH (5Y CAGR)
Profit margin
Current Ratio
Capital Returns
12.99%
Return on equity
ROIC: 1.03%
Valuation History
9.1X
Price to Earnings
EV/EBITDA: 7.6X
Cash flow
Profit margin
Revenue
31.65%
EBITDA
15.27%
Cash flow
-
Cash Flow (DCF)
Fair Value
Market $81.74
—
Default assumptions
EBITDA Multiple
Fair Value
Market $81.74
-38.07%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Cash flow to debt coverage
Western Alliance Bancorporation cash flow to debt ratio of -41.37% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Free cash flow growth
Western Alliance Bancorporation's free cash flow has increased -1.15% from $-2.83B last year to $-2.79B, signaling increasing performance
Debt-to-equity ratio
Western Alliance Bancorporation's debt to equity ratio is 0.95, which means that the company's assets are unhealthy financed, signaling financial risk.
Debt-to-equity trend
Western Alliance Bancorporation's debt has decreased relative to shareholder equity from 0.99 last year to 0.95 today, signaling strengthened financials
Net debt to EBITDA
Western Alliance Bancorporation has a net cash position, so leverage is healthy.
Interest coverage
Western Alliance Bancorporation earns at least as much interest as it pays. Interest obligations are fully covered.
Profit margin growth
Western Alliance Bancorporation's profit margin has increased (22.85%) in the last year from 15.70% to 19.29%, signaling increasing performance
Current ratio
Western Alliance Bancorporation's short-term liabilities of $81.01B exceed its short-term assets of $13.96B, signaling financial risk
Return on assets
Western Alliance Bancorporation's return on assets of 1.00% is lower than the 5.00% threshold, indicating inefficient asset utilization
Return on equity
Western Alliance Bancorporation's return on equity of 12.99%, is lower than 15.00%, indicating bad performance
Earnings quality
Western Alliance Bancorporation's operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation
Earnings stability
Western Alliance Bancorporation had positive net income in 5 out of 5 years, indicating stable and consistent earnings
Positive free cash flow
Western Alliance Bancorporation has negative free cash flow, indicating the company is burning cash rather than generating it
Free cash flow yield
Western Alliance Bancorporation has negative free cash flow, indicating cash burn
Earnings growth
Western Alliance Bancorporation's yearly earnings has increased 23.02% since last year from $787.70M to $969.00M, signaling increasing performance
Revenue growth
Western Alliance Bancorporation's yearly revenue has increased 3.76% since last year from $5.08B to $5.28B, signaling increasing performance
Return on invested capital
ROIC 1.03% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.
3-year revenue CAGR
Western Alliance Bancorporation's 3-year revenue CAGR of 21.23% is positive, indicating growing revenue over the past 3 years
Revenue consistency
Western Alliance Bancorporation had revenue growth in 5 out of 5 years, indicating consistent revenue performance
Return on equity consistency
Western Alliance Bancorporation had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity
Cash Flow Valuation (DCF)
Western Alliance Bancorporation has insufficient data to evaluate this check.
Earnings yield (TTM)
Western Alliance Bancorporation has an earnings yield of 11.35%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
EBITDA Valuation
Western Alliance Bancorporation is overvalued relative to its fair value price of 50.62 based on EBITDA multiple model
EV/EBITDA (FY)
Western Alliance Bancorporation has an EV/EBITDA ratio of 0.98x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
PEG ratio (TTM/FY)
Western Alliance Bancorporation has a PEG-ratio under 1 which is considered undervalued
Price-to-book ratio (FY)
Western Alliance Bancorporation has a price-to-book ratio of 1.07x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Price-to-sales ratio (TTM)
Western Alliance Bancorporation has a price-to-sales ratio of 1.70x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue