Bank Of Hawaii (BOH) AI Stock Analysis

• Market Cap: $2.61B
• Dividend Yield: 4.27%
• Average Volume (3M): 441.07K
• Price to Earnings (P/E): 17.2
• Beta (1Y): 0.86
• Revenue Growth: 2.74%
• EPS Growth: 7.24%
• Country: US
• Employees: 1,876
• Sector: Financial
• Sector Strength: 72
• Industry: Banks - Regional
• EPS (TTM): 1.06
• Shares Outstanding: 39,767,510
• 10 Day Avg. Volume: 380,152
• 30 Day Avg. Volume: 441,068
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.14
• Enterprise Value/Revenue: 2.85
• Enterprise Value/Gross Profit: 4.58
• Enterprise Value/Ebitda: 11.83
• 1Y Price Target: $70.60
• Price Target Upside: 7.72% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

• Rating: 71 Outperform
• Price Target: $72.00 ▲(9.86% Upside)

Bank of Hawaii's overall stock score is driven by its solid financial foundation and positive earnings call sentiment. The company's consistent revenue growth and effective cost management are significant strengths. However, technical indicators suggest potential resistance, and challenges in loan growth and deposit fluctuations present risks. The attractive dividend yield supports the valuation score.

Positive Factors

Analyst Recommendation

Analyst's recommendation is Overweight with a price target of $90, which is 12% above current prices, reflecting a belief in the company's potential growth.

Financial Performance

BOH has considerable latent earning asset repricing potential, which could positively impact the Net Interest Margin forecasts, further ahead of consensus.

Market Position

BOH’s differentiated funding position, with #1 market share in HI, should allow for deposit pricing power with lower rates while additionally favoring the Company’s low-risk credit portfolio.

Negative Factors

Short Interest

Short interest of 10.7% is currently more than four times that of peers and the absolute highest amongst its peer group.

Bank Of Hawaii Business Overview & Revenue Model

Company Description

Bank of Hawaii Corporation operates as the bank holding company for Bank of Hawaii that provides various financial products and services in Hawaii, Guam, and other Pacific Islands. It operates in three segments: Consumer Banking, Commercial Banking, and Treasury and Other. The Consumer Banking segment offers checking, savings, and time deposit accounts; residential mortgage loans, home equity lines of credit, automobile loans and leases, personal lines of credit, installment loans, small business loans and leases, and credit cards; private and international client banking, investment, credit, and trust services to individuals and families, and high-net-worth individuals; investment management; institutional investment advisory services to corporations, government entities, and foundations; and brokerage offerings, including equities, mutual funds, life insurance, and annuity products. This segment operates 54 branch locations and 307 ATMs throughout Hawaii and the Pacific Islands, and a customer service center, as well as through online and mobile banking. The Commercial Banking segment provides corporate banking, commercial real estate loans, commercial lease financing, auto dealer financing, and deposit products. It offers commercial lending and deposit products to middle-market and large companies, and government entities; commercial real estate mortgages to investors, developers, and builders; and international banking and merchant services. The Treasury and Other segment offers corporate asset and liability management services, including interest rate risk management and foreign exchange services. Bank of Hawaii Corporation was founded in 1897 and is headquartered in Honolulu, Hawaii.

How the Company Makes Money

Bank of Hawaii generates revenue through several key streams. The primary source of income is net interest income, which comes from the interest earned on loans and investments, minus the interest paid on deposits and borrowings. This includes personal loans, mortgages, and commercial loans. Additionally, the bank earns non-interest income through fees for banking services, such as account maintenance fees, ATM fees, and transaction fees. Wealth management services also contribute to revenue through advisory fees and commissions. The bank has strategic partnerships, such as with investment firms and technology providers, that enhance its service offerings and customer reach, thus contributing to its overall earnings.

Bank Of Hawaii Financial Statement Overview

Summary

Bank of Hawaii demonstrates solid financial performance with strong revenue growth and operational efficiency. However, there are challenges in net profitability and return on equity, which need improvement for maximizing shareholder value.

Income Statement

Bank of Hawaii demonstrates a solid financial performance with a positive trajectory in revenue growth. The TTM revenue shows an increase compared to the previous year, indicating a recovering growth trend. The gross profit margin is robust, but the net profit margin has experienced some fluctuation, which suggests potential cost management challenges. EBIT margins are strong, reflecting operational efficiency.

Balance Sheet

The balance sheet of Bank of Hawaii shows a moderate debt-to-equity ratio, suggesting a balanced approach to leveraging. The equity ratio remains stable, which is positive for financial health. However, the lower return on equity indicates a need for improved profitability to maximize shareholder value. Overall, the company maintains a relatively stable balance sheet.

Cash Flow

Cash flows for Bank of Hawaii are healthy, with a steady operating cash flow to net income ratio, indicating efficient cash conversion from operations. The free cash flow has shown growth, enhancing the company's capacity to invest in the future. However, fluctuations in investing and financing cash flows suggest potential volatility in strategic investments and financing activities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.04B	1.03B	965.77M	754.91M	689.41M	730.83M
Gross Profit	648.76M	621.19M	643.42M	705.90M	710.49M	562.93M
EBITDA	251.20M	229.37M	260.11M	323.85M	358.13M	221.61M
Net Income	171.14M	149.99M	171.20M	225.80M	253.37M	153.80M
Balance Sheet
Total Assets	23.71B	23.60B	23.73B	23.61B	22.78B	20.60B
Cash, Cash Equivalents and Short-Term Investments	768.68M	2.62B	3.41B	3.17B	4.47B	4.07B
Total Debt	92.38M	747.07M	805.37M	1.24B	564.09M	768.48M
Total Liabilities	21.97B	21.93B	22.32B	22.29B	21.17B	19.23B
Stockholders Equity	1.74B	1.67B	1.41B	1.32B	1.61B	1.37B
Cash Flow
Free Cash Flow	164.34M	168.77M	140.82M	304.20M	354.78M	113.13M
Operating Cash Flow	174.29M	178.45M	150.22M	332.96M	377.15M	146.42M
Investing Cash Flow	-540.20M	20.99M	562.79M	-1.25B	-2.42B	-2.37B
Financing Cash Flow	209.25M	-436.81M	-113.84M	761.79M	1.99B	2.28B

Bank Of Hawaii Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 65.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BOH, the sentiment is Positive. The current price of 65.54 is above the 20-day moving average (MA) of 64.02, below the 50-day MA of 66.27, and below the 200-day MA of 68.77, indicating a neutral trend. The MACD of -0.12 indicates Negative momentum. The RSI at 51.44 is Neutral, neither overbought nor oversold. The STOCH value of 67.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BOH.

Bank Of Hawaii Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INDB	78 Outperform	$3.32B	15.06	6.29%	3.45%	3.67%	-10.83%
CVBF	74 Outperform	$2.66B	13.22	9.30%	4.15%	-5.14%	-0.70%
WSBC	74 Outperform	$2.99B	18.71	4.25%	4.71%	30.52%	-21.64%
FIBK	73 Outperform	$3.16B	13.58	6.91%	6.22%	-2.11%	-8.95%
FHB	72 Outperform	$3.06B	12.69	9.40%	4.23%	-2.56%	12.05%
BOH	71 Outperform	$2.61B	17.24	10.20%	4.27%	2.74%	7.24%
Sector *	68 Neutral	$17.49B	11.70	10.34%	3.85%	9.75%	0.63%

Bank Of Hawaii Corporate Events

Bank of Hawaii Shareholders Meeting Decisions April 2025

On April 25, 2025, Bank of Hawaii Corporation held its annual shareholders meeting where several key matters were voted on. The shareholders elected directors, approved the executive compensation, and ratified the re-appointment of Ernst & Young LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025. These decisions are pivotal for the company’s governance and financial oversight.