- Bank of Hawaii is one of the most profitable banks in the country thanks to a leading position in the concentrated Hawaiian banking market.
- It has maintained excellent credit quality throughout the pandemic, though low interest rates and excess liquidity are putting pressure on interest margins.
- Economic indicators are moving in the right direction, although Hawaii is reliant to a relatively large degree on tourism.
- At 2.6x TBV, the current valuation doesn't offer obvious upside, but a 3.1% dividend yield may appeal to income investors.
For further details see:
Bank Of Hawaii: Yielding 3.1%, But Quality Isn't Coming Cheap