QualityDipStocks / Finance · Major Banks
Western Alliance Bancorporation WAL
Outside our quality screen, so we don’t track its dips. It’s 21% below its 52-week high.
Outside our quality screen, trading well below our fair value estimate.
- Fair value est.
- $124.17+63%
- Market Value
- $76.14at the price
- Off 52-wk high
- −21%
- Risk vs market
- Above marketbeta 1.14
5 bullish · 1 bearish See why
Key levels
Every level vs today’s $76.29
- 52-wk lowlowest close, 1 year$66.70−12.6%
- Market Valueavg paid since Oct 19$76.14−0.2%
- PriceFri Oct 30 close$76.29you are here
- 52-wk highhighest close, 1 year$96.08+25.9%
- Fair value est.base case$124.17+62.8%
Fair value estimate
How the range is computed
Financials model (residual income). Same residual-income model as the base: cost of equity 9.5% ±1 point and return on equity 14.2% ±2 points. Bear = 10.5% and 12.2%; bull = 8.5% and 16.2%. A model estimate from public filings, not a forecast of where the price will go.
Price is below even the bear case.
What the price implies To be worth today’s price, WAL would need a return on equity of about 10% a year; our estimate uses 14%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 30 to Oct 30, 252 sessions). Beta = how much WAL moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Swings more than the market, and its own price swings are 2.5× the S&P 500’s.
- Beta vs S&P 500
- 1.14
- Volatility
- 32% vs 13% SPY
- Correlation SPY
- 0.46
- Correlation QQQ
- 0.28
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 5 of 5
ValuationOur residual-income fair value estimate is $124.17, 63% above the price.
ValuationP/E of 8.4× vs a 13.5× median for the 151 Finance companies we cover.
GrowthSales grew 18% to $4.0B over the last 12 months vs the 12 months before (SEC filings).
GrowthDiluted EPS grew 23% to $8.73 in FY2025.
ValuationPrice / book of 1.1×, below the 1.8× median for the 143 Finance companies we cover.
Top bearish points 1 of 5
QualityDoesn’t pass our quality screen: no cash-flow data.
Who’s talking about it
Notable investors, executives, analysts and public figures on Western Alliance Bancorporation in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 1, 9:09 PM ET.
Compare with peers
Closest in size in Major Banks
All fundamentals
P/E 8.4 · ROE 13% · Sales +18%
Valuation
- P/E
- 8.4×Finance median 13.5×
- Price / FCF
- n/acash flow isn't a clean measure for a bank
- FCF yield
- n/acash flow isn't a clean measure for a bank
- EV / EBITDA
- n/anot meaningful for a bank
- Price / sales
- 2.05×
- Price / book
- 1.07×
- Market cap
- $8.2Bprice × diluted shares
- Enterprise value
- $8.5B
Growth
- Revenue, 12 months
- $4.0Bnet interest income + noninterest income
- Sales growth, 12 months
- +17.9%vs the 12 months before
- Sales growth, 3 yrs
- +11.7%/yrfrom FY2022
- Diluted EPS, 12 months
- $9.02
- EPS growth, last FY
- +23.1%
- Net income, 12 months
- $978M
- Net income growth
- +10%12 months vs before
Profitability
- Gross margin
- n/anot meaningful for a bank
- Operating margin
- n/anot reported in its SEC filings
- Net margin
- 24.4%
- FCF margin
- n/anot reported in its SEC filings
- Return on equity
- 13%
- Return on invested capital
- n/anot meaningful for a bank
Balance sheet
- Cash & short-term inv.
- $5.3B
- Total debt
- $5.6B
- Net cash
- n/anot meaningful for a bank
- Debt / equity
- n/adeposits/float make debt/equity not comparable for a bank
- Interest coverage
- n/anot meaningful for a bank
Cash flow & returns
- Free cash flow, 12 months
- n/anot reported in its SEC filings
- FCF growth, 12 months
- n/anot reported in its SEC filings
- Dividend yield
- n/ano dividend payments tagged
- Payout ratio
- n/anot reported in its SEC filings
- Buybacks, 12 months
- $203M2.5% of market cap
- Share count, 1 year
- −1.8%diluted shares vs a year ago
- Stock-based comp
- $53M
Trailing 12 months to Sep 30, 2026; balance sheet at Sep 30, 2026. From Western Alliance Bancorporation’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
Valuation details
DCF $124.17 · MV $76.14
Financials model (residual income): book value $75.73 a share on Sep 30, 2026 (preferred stock excluded), plus the earnings above a 9.5% cost of equity. ROE 14.2%, the average of 12.5% for the trailing 12 months to Sep 30, 2026 and 15.8% over fiscal 2021–2025, on average common equity; payout 34% of earnings (dividends 19% + net buybacks 15%), so book grows by the retained rest; the return above 9.5% fades halfway toward 9.5% over 10 years, then grows at 3% (terminal value). From the 10-Q filed Oct 30, 2026.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
Momentum & 52-week range
RSI 51 · 5 days +0.2%
The business
Sales +9%
- Return on equity13%
- Sales growth (latest quarter vs year-ago quarter)+9%
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.
WAL is outside our quality screen
One text when a published rule fires on one of the 333 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.