Community West Bancshares (CWBC)
NASDAQ:CWBC
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Community West Bancshares
(NASDAQ:CWBC)
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Select Model
Rating:70Outperform
Price Target:
$26.00
â–²(11.97% Upside)
Action:ReiteratedDate:04/01/26
CWBC scores well on valuation and is supported by improving 2025 fundamentals and a scale-building merger, but the overall score is held back by uneven multi-year financial consistency (especially cash flow) and only mixed technical momentum.
Positive Factors
Scale expansion via merger
The all-stock merger completed April 1, 2026 increases assets to roughly $5B and expands branch coverage to 31 communities across 13 counties. Greater scale should boost lending capacity, deposit diversification, product breadth, and cost synergies that support durable regional competitiveness.
Negative Factors
Volatile cash generation
Historic volatility in operating and free cash flow reduces confidence in internal funding for lending, dividends, and tech or integration spend. Inconsistent cash conversion elevates reliance on external deposits or wholesale funding and complicates multi-year planning and capital allocation decisions.
Read all positive and negative factors
Positive Factors
Negative Factors
Scale expansion via merger
The all-stock merger completed April 1, 2026 increases assets to roughly $5B and expands branch coverage to 31 communities across 13 counties. Greater scale should boost lending capacity, deposit diversification, product breadth, and cost synergies that support durable regional competitiveness.
Read all positive factors
Community West Bancshares (CWBC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$626.22M
Dividend Yield2.12%
Average Volume (3M)50.84K
Price to Earnings (P/E)9.6
Beta (1Y)0.80
Revenue Growth32.03%
EPS Growth170.90%
CountryUS
Employees342
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)0.58
Shares Outstanding26,968,903
10 Day Avg. Volume49,610
30 Day Avg. Volume50,841
Financial Highlights & Ratios
PEG Ratio0.03
Price to Book (P/B)1.04
Price to Sales (P/S)2.20
P/FCF Ratio9.80
Enterprise Value/Market Cap0.76
Enterprise Value/Revenue2.46
Enterprise Value/Gross Profit3.40
Enterprise Value/Ebitda8.58
Forecast
1Y Price Target
$27.50Price Target Upside18.43% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)2.13
Revenue Forecast (FY)$200.20M
Community West Bancshares Business Overview & Revenue Model
Company Description
Community West Bancshares operates as the bank holding company for Community West Bank, N.A. that provides various financial products and services in California. The company offers deposit products, such as checking accounts, savings accounts, mon...
How the Company Makes Money
CWBC generates earnings primarily through its banking subsidiary by (1) earning interest income on loans and other interest-earning assets and (2) charging fees for banking services. The core revenue engine is net interest income: the bank collect...
Community West Bancshares Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
70
Positive
Cash Flow
62
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 194.60M | 164.20M | 108.10M | 86.66M | 81.45M |
| Gross Profit | 141.32M | 103.06M | 87.80M | 82.24M | 84.58M |
| EBITDA | 52.53M | 13.20M | 34.73M | 35.90M | 47.02M |
| Net Income | 38.17M | 7.67M | 25.54M | 26.64M | 28.40M |
Balance Sheet | |||||
| Total Assets | 3.69B | 3.52B | 2.43B | 2.42B | 2.45B |
| Cash, Cash Equivalents and Short-Term Investments | 118.98M | 423.81M | 461.75M | 680.00M | 1.27B |
| Total Debt | 142.53M | 203.33M | 149.74M | 115.60M | 39.45M |
| Total Liabilities | 3.28B | 3.16B | 2.23B | 2.25B | 2.20B |
| Stockholders Equity | 409.59M | 362.69M | 207.06M | 174.66M | 247.84M |
Cash Flow | |||||
| Free Cash Flow | 43.61M | 17.16M | 17.72M | 23.31M | 41.81M |
| Operating Cash Flow | 46.12M | 22.20M | 27.53M | 23.67M | 42.85M |
| Investing Cash Flow | -160.51M | 64.47M | 24.52M | -197.07M | -365.14M |
| Financing Cash Flow | 112.97M | -20.00M | -29.49M | 41.10M | 415.47M |
Community West Bancshares Technical Analysis
Positive
23.22
Price Trends
23.52
Negative
23.08
Positive
21.71
Positive
Market Momentum
-0.03
Negative
53.47
Neutral
62.98
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CWBC, the sentiment is Positive. The current price of 23.22 is above the 20-day moving average (MA) of 22.78, below the 50-day MA of 23.52, and above the 200-day MA of 21.71, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 53.47 is Neutral, neither overbought nor oversold. The STOCH value of 62.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CWBC.
Community West Bancshares Risk Analysis
Community West Bancshares disclosed 47 risk factors in its most recent earnings report. Community West Bancshares reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Community West Bancshares Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | $447.17M | 8.58 | 16.51% | 2.00% | 8.90% | 18.23% | |
70 Outperform | $626.22M | 9.59 | 9.79% | 2.12% | 32.03% | 170.90% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
67 Neutral | $422.84M | 9.53 | 2.24% | 3.76% | 23.93% | ― | |
65 Neutral | $412.96M | 9.41 | 10.03% | 1.41% | 9.76% | 4.43% | |
64 Neutral | $486.66M | 9.14 | 9.73% | 2.96% | 3.49% | 33.86% | |
54 Neutral | $494.09M | -3.72 | -21.66% | 5.87% | 12.76% | -401.62% |
* Financial Sector Average
CWBC
Community West Bancshares
23.22
6.51
38.95%
BMRC
Bank Of Marin Bancorp
26.22
6.11
30.38%
CIVB
Civista Bancshares
23.47
4.45
23.40%
MSBI
Midland States Bancrop
23.54
8.18
53.22%
FRBA
First Bank
16.43
2.77
20.25%
OBT
Orange County Bancorp
33.45
10.42
45.22%
Community West Bancshares Corporate Events
Business Operations and StrategyM&A TransactionsShareholder Meetings
Community West Bancshares Completes Merger With United Security
Positive
Apr 1, 2026
On April 1, 2026, Community West Bancshares completed its all-stock merger with United Security Bancshares, in which USB merged into Community West and United Security Bank merged into Community West Bank, with both Community West entities survivi...
Legal ProceedingsM&A TransactionsRegulatory Filings and ComplianceShareholder Meetings
Community West Bancshares Advances Merger Amid Shareholder Challenges
Negative
Mar 20, 2026
Community West Bancshares and United Security Bancshares, both based in California, moved forward with their previously announced merger agreement from December 16, 2025, as the SEC declared effective the S-4 registration and joint proxy statement...
Business Operations and StrategyM&A TransactionsRegulatory Filings and ComplianceShareholder Meetings
Community West Bancshares Gains Key Approvals for Merger
Positive
Mar 17, 2026
On March 16, 2026, Community West Bancshares and United Security Bancshares announced they had received required approvals from federal and California banking regulators, plus a Federal Reserve waiver, for their planned merger that will combine bo...
Business Operations and StrategyExecutive/Board Changes
Community West Bancshares Announces COO Blaine Lauhon Retirement
Neutral
Mar 4, 2026
Community West Bank announced on March 3, 2026, that Executive Vice President and Chief Operating Officer Blaine C. Lauhon will retire effective December 31, 2026, concluding a banking career of more than 40 years. Lauhon formally notified the ban...
Executive/Board Changes
Community West Bancshares Announces Upcoming Board Leadership Changes
Neutral
Feb 20, 2026
On February 18, 2026, Community West Bancshares announced that long-serving directors William S. Smittcamp and Tom L. Dobyns notified the board of their intention to retire from both the holding company and Community West Bank boards, effective Ma...
Business Operations and StrategyFinancial Disclosures
Community West Bancshares executives to present at Janney forum
Positive
Feb 3, 2026
Community West Bancshares reported solid financial performance as of December 31, 2025, highlighted by total assets of $3.69 billion, net income of $38.17 million, diluted EPS of $2.00, and a net interest margin of 4.15%, with returns on average a...
Executive/Board Changes
Community West Bancshares Announces Board Leadership Transition
Neutral
Jan 27, 2026
On January 21, 2026, Community West Bancshares announced that board member Suzanne M. Chadwick will retire from the boards of both the company and its subsidiary Community West Bank, effective March 31, 2026, after joining the combined organizatio...
Business Operations and StrategyDividendsFinancial DisclosuresM&A Transactions
Community West Bancshares Reports Strong Earnings and Dividend
Positive
Jan 22, 2026
Community West Bancshares reported unaudited consolidated net income of $11.17 million, or $0.58 per diluted share, for the quarter ended December 31, 2025, up sharply from $6.90 million, or $0.36 per share, a year earlier, supported by higher net...
Executive/Board Changes
Community West Bancshares Announces Director’s Upcoming Retirement
Neutral
Jan 16, 2026
On January 16, 2026, Community West Bancshares announced that founding board member Daniel N. Cunningham will retire from the board upon completion of his term on May 20, 2026, after 46 years of service, and will be appointed Director Emeritus at ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.