West Bancorporation, Inc. (NASDAQ:WTBA) Second-Quarter Results Just Came Out: Here's What Analysts Are Forecasting For This Year
The quarterly results for West Bancorporation, Inc. (NASDAQ:WTBA) were released last week, making it a good time to revisit its performance. West Bancorporation reported in line with analyst predictions, delivering revenues of US$28m and statutory earnings per share of US$0.64, suggesting the business is executing well and in line with its plan. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.
Taking into account the latest results, the consensus forecast from West Bancorporation's twin analysts is for revenues of US$114.0m in 2026. This reflects a meaningful 10% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to step up 18% to US$2.65. In the lead-up to this report, the analysts had been modelling revenues of US$114.8m and earnings per share (EPS) of US$2.59 in 2026. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.
See our latest analysis for West Bancorporation
The consensus price target was unchanged at US$27.50, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the West Bancorporation's past performance and to peers in the same industry. For example, we noticed that West Bancorporation's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 22% growth to the end of 2026 on an annualised basis. That is well above its historical decline of 3.2% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue grow 7.8% per year. So it looks like West Bancorporation is expected to grow faster than its competitors, at least for a while.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around West Bancorporation's earnings potential next year. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at US$27.50, with the latest estimates not enough to have an impact on their price targets.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have analyst estimates for West Bancorporation going out as far as 2027, and you can see them free on our platform here.
Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.