Bank of Hawaii Corporation (NYSE:BOH) defied analyst predictions to release its third-quarter results, which were ahead of market expectations. Bank of Hawaii beat earnings, with revenues hitting US$163m, ahead of expectations, and statutory earnings per share outperforming analyst reckonings by a solid 13%. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Taking into account the latest results, the consensus forecast from Bank of Hawaii's four analysts is for revenues of US$680.7m in 2025. This reflects a decent 9.2% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to rise 8.2% to US$3.59. Before this earnings report, the analysts had been forecasting revenues of US$668.9m and earnings per share (EPS) of US$3.48 in 2025. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.
The consensus price target rose 8.1% to US$62.50, suggesting that higher earnings estimates flow through to the stock's valuation as well. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Bank of Hawaii analyst has a price target of US$74.00 per share, while the most pessimistic values it at US$46.00. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Bank of Hawaii shareholders.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The analysts are definitely expecting Bank of Hawaii's growth to accelerate, with the forecast 7.3% annualised growth to the end of 2025 ranking favourably alongside historical growth of 1.3% per annum over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 6.5% per year. Bank of Hawaii is expected to grow at about the same rate as its industry, so it's not clear that we can draw any conclusions from its growth relative to competitors.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Bank of Hawaii's earnings potential next year. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.
Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Bank of Hawaii going out to 2026, and you can see them free on our platform here..
You can also see our analysis of Bank of Hawaii's Board and CEO remuneration and experience, and whether company insiders have been buying stock.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
