West Bancorporation, Inc. (WTBA) AI Stock Analysis

West Bancorporation, Inc. operates in the community banking sector primarily through its subsidiary, West Bank. Founded in 1893 and headquartered in West Des Moines, Iowa, it provides financial services to individual customers and small- to medium-sized businesses across the United States. Offerings include checking, savings, money market accounts, and time certificates of deposit. Loan products cover commercial real estate, construction, and consumer financing. The company also provides internet and mobile banking along with treasury management solutions, such as cash management, automated clearing house transactions, remote deposit capabilities, and fraud protection.

Between FY2021 and FY2025, revenue increased from $116.4M to $198.5M, though FY2025 revenue growth slowed to 0.3%. Operating margin narrowed from 54.0% in FY2021 to 13.9% in FY2024 before rebounding to 20.9% in FY2025. Annual net income was $32.6M with an EPS of $1.91 in FY2025, up from $24.1M and $1.50 in FY2024. Over the trailing twelve months, revenue reached $103.4M with an operating margin of 52.6% and net margin of 37.1%. For the latest quarter ended June 30, 2026, revenue increased 18.0% and earnings grew 36.2% year-over-year.

As of June 30, 2026, West Bancorporation held $477.6M in cash and short-term investments against $374.0M in total debt, resulting in net cash of $103.5M. Total assets stood at $4.03B with shareholders' equity of $281.0M, generating a debt-to-equity ratio of 1.33 and a current ratio of 0.15. In FY2025, operating cash flow was $46.5M and free cash flow was $43.2M. Capital deployment during FY2025 included $3.3M in capital expenditures, $1.1M in share buybacks, and $16.9M paid in dividends.

West Bancorporation trades at a trailing P/E of 13.0x and a forward P/E of 13.3x, both at a premium to the US-listed Financial Services median of 12.1x and 10.8x, respectively. Its price-to-sales ratio is 4.8x compared to the peer median of 3.2x, while price-to-book sits at 1.7x. Over the past year, the stock returned 58.8%, outperforming the S&P 500 (SPY) return of 16.8%. Over a 5-year period, its return of 22.0% trailed the S&P 500 return of 83.0%.

The company pays a forward annual dividend of $1.04 per share, translating to a dividend yield of 3.57%. The dividend payout ratio stands at 45.3% on a quarterly payment schedule. West Bancorporation has paid dividends for 28 consecutive years, delivering a 5-year annualized dividend growth rate of 3.5%. The last ex-dividend date was August 5, 2026.

Wall Street coverage includes 2 Hold ratings, with zero Buy or Sell recommendations. The mean price target is $29.00, representing a 0.7% decline from the last close of $29.19. For the fiscal year ending December 31, 2026, consensus estimates project EPS of $2.60 (up 35.4%) on revenue of $113.7M. For the following fiscal year, 2 analysts project EPS of $2.81 on revenue of $122.9M. West Bancorporation beat EPS estimates in 3 of the last 4 quarters, with next earnings scheduled for October 29, 2026.

This page is an AI-written research summary of West Bancorporation, Inc. (WTBA). 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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