Western Alliance stock rating reiterated at Outperform by RBC Capital

Investing.com - RBC Capital has reiterated its Outperform rating and $100.00 price target on Western Alliance Bancorporation (NYSE:WAL) following the bank’s third-quarter earnings report. According to InvestingPro data, analyst targets range from $90 to $118, with the stock currently trading at an attractive P/E ratio of 10.3x.

The bank’s quarterly results were impacted by provision headwinds stemming from a previously disclosed alleged fraud issue, according to RBC Capital’s analysis of the financial performance.

Despite these challenges, Western Alliance demonstrated strong underlying fundamentals, particularly in deposit trends, which supported net interest income expansion during the quarter.

The bank has largely maintained its 2025 outlook, with some positive adjustments to fee income expectations and minor refinements to expense projections. RBC Capital noted that the company’s solid franchise momentum could provide earnings per share tailwinds extending into 2026.

Western Alliance has also activated its share repurchase program and may increase buyback activity in the future, potentially supporting shareholder value, according to the research firm’s assessment.

In other recent news, Western Alliance Bancorporation reported its financial results for the third quarter of 2025, revealing stronger-than-expected earnings. The company achieved an earnings per share (EPS) of $2.28, surpassing analysts’ forecast of $2.08. Revenue for the quarter also exceeded expectations, coming in at $938.2 million compared to the anticipated $887.7 million. These results highlight a positive earnings surprise for the company. The performance reflects Western Alliance’s ability to outperform market estimates, showcasing its financial strength. Analysts had projected lower figures, making the actual results noteworthy for investors. The company’s financial performance is a key development for stakeholders. These recent developments provide insight into the company’s current financial health and market position.

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