BOH - Bank of Hawaii: HTM Securities Are The Biggest Problem
2024-01-24 09:15:54 ET
Summary
- Bank of Hawaii has almost recovered from the banking crisis triggered by SVB's bankruptcy, but Q4 results were underwhelming.
- The bank's loan portfolio is solid, with a low degree of risk, but the composition of assets is rapidly changing.
- The high Fed Funds Rate is impacting consumer loan demand and causing unrealized losses in the securities portfolio.
Just under a year after the banking crisis triggered by SVB's bankruptcy, Bank of Hawaii ( BOH ) has almost completely recovered the ground it lost. However, after a strong rise, there may now be a stall. The Q4 2023 results were not exciting:
- Q4 GAAP EPS of $0.72 misses by $0.11.
- Revenue of $158.07M (-13.1% Y/Y) misses by $4.3M.