GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » East West Bancorp Inc (NAS:EWBC) » Definitions » Cyclically Adjusted PB Ratio

East West Bancorp (East West Bancorp) Cyclically Adjusted PB Ratio : 2.09 (As of May. 16, 2024)


View and export this data going back to 1999. Start your Free Trial

What is East West Bancorp Cyclically Adjusted PB Ratio?

As of today (2024-05-16), East West Bancorp's current share price is $77.63. East West Bancorp's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was $37.11. East West Bancorp's Cyclically Adjusted PB Ratio for today is 2.09.

The historical rank and industry rank for East West Bancorp's Cyclically Adjusted PB Ratio or its related term are showing as below:

EWBC' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 0.98   Med: 2.18   Max: 3.65
Current: 2.11

During the past years, East West Bancorp's highest Cyclically Adjusted PB Ratio was 3.65. The lowest was 0.98. And the median was 2.18.

EWBC's Cyclically Adjusted PB Ratio is ranked worse than
88.53% of 1186 companies
in the Banks industry
Industry Median: 0.935 vs EWBC: 2.11

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

East West Bancorp's adjusted book value per share data for the three months ended in Mar. 2024 was $50.483. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $37.11 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


East West Bancorp Cyclically Adjusted PB Ratio Historical Data

The historical data trend for East West Bancorp's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

East West Bancorp Cyclically Adjusted PB Ratio Chart

East West Bancorp Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.15 2.03 2.72 2.01 1.97

East West Bancorp Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.63 1.51 1.47 1.97 2.13

Competitive Comparison of East West Bancorp's Cyclically Adjusted PB Ratio

For the Banks - Regional subindustry, East West Bancorp's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


East West Bancorp's Cyclically Adjusted PB Ratio Distribution in the Banks Industry

For the Banks industry and Financial Services sector, East West Bancorp's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where East West Bancorp's Cyclically Adjusted PB Ratio falls into.



East West Bancorp Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

East West Bancorp's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=77.63/37.11
=2.09

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

East West Bancorp's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, East West Bancorp's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book=Book Value per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=50.483/131.7762*131.7762
=50.483

Current CPI (Mar. 2024) = 131.7762.

East West Bancorp Quarterly Data

Book Value per Share CPI Adj_Book
201406 18.837 100.560 24.685
201409 19.303 100.428 25.328
201412 19.892 99.070 26.459
201503 20.433 99.621 27.028
201506 20.890 100.684 27.341
201509 21.346 100.392 28.019
201512 21.701 99.792 28.656
201603 22.329 100.470 29.287
201606 22.879 101.688 29.649
201609 23.437 101.861 30.320
201612 23.776 101.863 30.758
201703 24.684 102.862 31.623
201706 25.402 103.349 32.389
201709 26.170 104.136 33.116
201712 26.580 104.011 33.675
201803 27.464 105.290 34.373
201806 28.393 106.317 35.192
201809 29.289 106.507 36.238
201812 30.518 105.998 37.940
201903 31.559 107.251 38.776
201906 32.530 108.070 39.666
201909 33.542 108.329 40.802
201912 34.456 108.420 41.879
202003 34.666 108.902 41.948
202006 35.249 108.767 42.706
202009 36.225 109.815 43.469
202012 37.221 109.897 44.631
202103 37.260 111.754 43.935
202106 39.101 114.631 44.949
202109 40.105 115.734 45.664
202112 41.134 117.630 46.081
202203 40.093 121.301 43.555
202206 39.807 125.017 41.959
202209 40.170 125.227 42.271
202212 42.460 125.222 44.682
202303 44.622 127.348 46.174
202306 45.671 128.729 46.752
202309 46.624 129.860 47.312
202312 49.639 129.419 50.543
202403 50.483 131.776 50.483

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


East West Bancorp  (NAS:EWBC) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


East West Bancorp Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of East West Bancorp's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


East West Bancorp (East West Bancorp) Business Description

Traded in Other Exchanges
Address
135 North Los Robles Avenue, 7th Floor, Pasadena, CA, USA, 91101
East West Bancorp Inc is the holding company for East West Bank, a full-service commercial bank with cross-border operations concentrated in the United States and China. East-West Bank is one of a few U.S. based banks with a full banking license in China. The bank's cost strategy has increasingly focused on expanding its deposit base away from time deposits to commercial deposits. The bank has also taken part in entertainment partnerships between participants in China and Hollywood. Most of these efforts include financing the production and distribution of film and television projects. The bank leverages its cultural and regulatory knowledge in the U.S. and China to assist its customers in entering new markets. Most of its earning assets are in loans held for investment.
Executives
Jack C Liu director 415 HUNTINGTON DRIVE, SAN MARINO CA 91108
Douglas Paul Krause officer: Executive Vice President 415 HUNTINGTON DRIVE, SAN MARINO CA 91108
Molly Campbell director 135 N. LOS ROBLES AVE 7TH FLR, PASADENA CA 91101
Moral-niles Christopher Del officer: Chief Financial Officer ASSOCIATED BANC-CORP, 433 MAIN STREET, GREEN BAY WI 54301
Rudolph Estrada director 415 HUNTINGTON DR., SAN MARINO CA 91108
Mark R Hutchins director 2454 MCMULLEN BOOTH RD, BUILDING C, CLEARWATER FL 33759
Manuel Pham Alvarez director 135 N. LOS ROBLES AVE., PASADENA CA 91101
Archana Deskus director 2929 ALLEN PARKWAY SUITE 2100, HOUSTON TX 77019
Sabrina Kay director 30930 RUSSELL RANCH ROAD, SUITE 300, WESTLAKE VILLAGE CA 91362
Dominic Ng director, officer: Chief Executive Officer
Lester Sussman director C/O CU BANCORP, 15821 VENTURA BOULEVARD, SUITE 100, ENCINO CA 91436
Irene H Oh officer: Chief Financial Officer 135 N LOS ROBLES AVE. 7TH FL, PASADENA CA 91101
Parker Shi officer: Chief Operating Officer 135 N. LOS ROBLES AVE., PASADENA CA 91101
Gary Teo officer: Senior Vice President 135 N. LOS ROBLES AVE 7TH FLR, PASADENA CA 91101
Serge Dumont director 135 N. LOS ROBLES AVE., PASADENA CA 91101