Bank Of Hawaii Gains From Organic Growth, Costs Increase
Zacks Investment Research | Dec 27, 2019 07:50AM ET
Bank of Hawaii (NYSE:BOH) remains well poised to grow on the back of improving non-interest-bearing deposits. However, mounting expenses pose a near-term headwind.
Given the company’s organic efforts and increasing net interest income (NII), revenues have been witnessing growth. Further, NII and net interest margin are likely to gain from non-interest-bearing deposits, which accounts for 32% of total deposits.
Moreover, Bank of Hawaii’s loans and deposits are witnessing an increasing trend. Thus, strong deposit balances will help the company generate higher loans and fund other business needs. Furthermore, backed by a strong capital position and stability in earnings, the bank’s steady capital-deployment activities, which include regular dividend payouts and share buyback, seem sustainable.
Shares of Bank of Hawaii have surged 46% so far this year, outperforming the Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.