5 High Growth Low PE Stocks

3. Western Alliance Bancorporation (NYSE:WAL)

Number of Hedge Fund Investors: 36

Regional bank holding company Western Alliance Bancorporation (NYSE:WAL) saw a 7.9% year-over-year increase in revenue during the third quarter.

Miller Value Income Strategy made the following comment about Western Alliance Bancorporation (NYSE:WAL) in its Q3 2023 investor letter:

“Western Alliance Bancorporation (NYSE:WAL) also performed well during the quarter. The regional bank reported 2Q23 EPS of $1.96, -18.0% Y/Y, slightly below consensus of $1.97, and Net Interest Margin (NIM) of 3.42%, -12bps Y/Y, below consensus of 3.50%. Tangible Book Value (TBV) per share stood at $43.09 (P/TBV of ~1.1x) at the end of the quarter, +17.5% Y/Y, while the bank’s Common Equity Tier 1 (CET1) ratio came in at 10.1%, ahead of management’s estimates for 10%+, in-line with consensus. The company posted quarterly deposit growth of $3.5B, or +7.3% sequentially, with total insured and collateralized deposits representing 81% of total deposits and available liquidity coverage of 276% of uninsured deposits. For the second half of 2023 (2H23), management is guiding for deposit growth of $2B per quarter, continued CET1 growth towards the company’s 2024 target of 11%+, NIM of 3.55%, an Adjusted Efficiency ratio in the high-40’s, and net charge-offs of 10bps, at the respective midpoints.”