WAFD - With Rates Set To Rise Washington Federal Looks To Leverage Better Growth
- Washington Federal's fiscal first quarter was largely in line with expectations, with small misses on pre-provision profits and provisions, but better net interest income.
- Loan growth appears to be re-accelerating, and WAFD could benefit by maintaining a commitment to real estate markets (construction, multi-fam, CRE) when others have retreated.
- I'm still concerned about the quality of WAFD's deposit base and whether the bank can hold on to its improved ratio of non-interest-bearing deposits.
- Mid-to-high single-digit long-term earnings growth isn't enough to push me to recommend the shares, but the story is improving.
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With Rates Set To Rise, Washington Federal Looks To Leverage Better Growth