Washington Trust Bancorp, Inc. (WASH) AI Stock Analysis

Washington Trust Bancorp, Inc. operates as a bank holding company overseeing The Washington Trust Company of Westerly. Founded in 1800 and based in Westerly, Rhode Island, the institution runs two core segments: Commercial Banking and Wealth Management Services. The Commercial Banking segment delivers lending products including commercial real estate, commercial and industrial, residential real estate, and consumer loans, alongside deposit accounts, debit cards, online, and mobile banking. Wealth Management Services offers investment management, financial planning, personal trust and estate solutions, fiduciary services, and custodial support to individuals and institutional clients.

Washington Trust Bancorp grew revenue at a 5-year CAGR of 7.2% from FY2020 through FY2025. In FY2025, revenue increased 22.6% to $381.1M, rebounding from a 14.8% decline to $310.8M in FY2024. Net income reached $52.2M with a net margin of 13.7% in FY2025, recovering from a net loss of $28.1M and an operating margin of -12.5% in FY2024. Over the trailing twelve months, revenue totaled $221.0M with diluted EPS of $2.88. In the quarter ended June 30, 2026, quarterly revenue grew 9.7% year-over-year while quarterly earnings expanded 22.1%.

As of June 30, 2026, Washington Trust Bancorp held $26.4M in cash and short-term investments against $516.6M in total debt, leading to net debt of $490.2M. Shareholders' equity stood at $553.5M across $6.55B in total assets, representing a debt-to-equity ratio of 0.93. During FY2025, operating cash flow was $52.6M and free cash flow was $50.5M after $2.0M in capital expenditures. Capital returns in FY2025 included $43.3M in dividends paid and $7.4M in share buybacks.

At $37.06 per share, Washington Trust Bancorp trades at a market capitalization of $706.9M. Its trailing P/E of 12.9x sits slightly above the 12.1x median of its US-listed Financial Services peers, while its forward P/E of 11.3x compares to the peer median of 10.8x. The stock trades at a price-to-sales multiple of 3.2x, matching the peer median of 3.2x. Over the past year, WASH gained 55.6%, outperforming the 16.8% return for the S&P 500 (SPY), though its 5-year return of -5.8% trails the SPY return of 83.0%.

Washington Trust Bancorp pays an annual forward dividend of $2.24 per share, translating to a dividend yield of 6.05% with a quarterly payout frequency. The company maintains a payout ratio of 77.8% and has paid dividends for 40 consecutive years. Its 5-year annualized dividend growth rate is 1.8%, and the last ex-dividend date was October 1, 2026.

Wall Street coverage includes 4 Hold ratings, with zero Buy or Sell recommendations. The mean price target of $37.67 represents a 1.6% premium over the last close of $37.06. For the fiscal year ending December 31, 2026, analysts estimate EPS of $3.24 (up 20.5%) on revenue of $244.7M. The company beat EPS estimates in 3 of the last 4 quarters, with next earnings scheduled for October 19, 2026.

This page is an AI-written research summary of Washington Trust Bancorp, Inc. (WASH). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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