East West Bancorp (STU:EW2) Cyclically Adjusted PB Ratio: (As of Aug. 10, 2026)

Author: Vera Yuan Vera Yuan
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Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

STU:EW2 East West Bancorp Inc STU:EW2
82 GF Score
Price €113.00
GF Value €91.31
Valuation Modestly Overvalued
! 6 Warning Signs
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What is East West Bancorp Cyclically Adjusted PB Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


East West Bancorp  (STU:EW2) 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


East West Bancorp Cyclically Adjusted PB Ratio Historical Data

* Premium members only.

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.

East West Bancorp Cyclically Adjusted PB Ratio Chart

East West Bancorp Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.72 2.01 1.97 2.38 2.52

East West Bancorp Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 2.36 2.43 2.52 2.30 0.00

STU:EW2 vs PNFP, WBS, FHN: Cyclically Adjusted PB Ratio Comparison

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 Cyclically Adjusted PB Ratio vs 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.


STU:EW2
82GF Score
East West Bancorp Inc STU:EW2
Cyclically Adjusted PB Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

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 Book per Share for the quarter that ended in Jun. 2026 is calculated as:

For example, East West Bancorp's adjusted Book Value per Share data for the three months ended in Jun. 2026 was:

Adj_Book=Book Value per Share/CPI of Jun. 2026 (Change)*Current CPI (Jun. 2026)
=58.582/333.9520*333.9520
=58.582

Current CPI (Jun. 2026) = 333.9520.

East West Bancorp Quarterly Data

Book Value per Share CPI Adj_Book
201609 20.882 241.428 28.885
201612 22.540 241.432 31.178
201703 23.080 243.801 31.614
201706 22.608 244.955 30.822
201709 21.957 246.819 29.708
201712 22.460 246.524 30.425
201803 22.273 249.554 29.806
201806 24.304 251.989 32.209
201809 25.101 252.439 33.206
201812 26.826 251.233 35.659
201903 27.930 254.202 36.692
201906 28.789 256.143 37.534
201909 30.456 256.759 39.612
201912 31.010 256.974 40.299
202003 31.373 258.115 40.591
202006 31.301 257.797 40.548
202009 30.755 260.280 39.460
202012 30.596 260.474 39.227
202103 31.298 264.877 39.460
202106 32.454 271.696 39.890
202109 34.089 274.310 41.501
202112 36.403 278.802 43.604
202203 36.404 287.504 42.285
202206 37.657 296.311 42.441
202209 40.572 296.808 45.649
202212 40.082 296.797 45.100
202303 41.677 301.836 46.112
202306 42.154 305.109 46.139
202309 43.687 307.789 47.401
202312 45.519 306.746 49.556
202403 46.444 312.332 49.659
202406 48.360 314.175 51.404
202409 49.822 315.301 52.769
202412 53.277 315.605 56.374
202503 53.227 319.799 55.583
202506 51.597 322.561 53.419
202509 53.156 324.800 54.654
202512 55.240 324.054 56.927
202603 56.830 330.213 57.473
202606 58.582 333.952 58.582

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.

Is East West Bancorp (STU:EW2) Overvalued in 2026?

Based on GuruFocus' analysis, East West Bancorp stock appears to be overvalued. The current stock price of €113.00 is trading 23.8% above its estimated GF Value™ of €91.31. GuruFocus considers East West Bancorp to be Modestly Overvalued.

Key valuation signals for STU:EW2:

  • Cyclically Adjusted PB Ratio:
  • GF Value™: €91.31 vs. price of €113.00 (23.8% above fair value)
  • GF Score™: 82/100 with 6 warning signs

No single metric tells the full story. See the STU:EW2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


East West Bancorp Business Description

Other Exchanges EWBC:USA
Address 135 North Los Robles Avenue, 7th Floor, Pasadena, CA, USA, 91101
East West Bancorp Inc operates in U.S. and Asia. The Bank provides range of personal and commercial banking services to individuals and businesses. In addition to offering traditional deposit products that include personal and business checking and savings accounts, money market, and time deposits, the Bank also offers foreign exchange, treasury management and wealth management services. The Bank has three operating segments, (1) Consumer and Business Banking, (2) Commercial Banking and (3) Treasury and Other. The company generates the majority of its revenue from the Commercial banking segment.
82GF Score

Get the complete analysis for STU:EW2

Cyclically Adjusted PB Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€113.00
Price
€91.31
GF Value