East West Bancorp raised its quarterly dividend 33%, from 60 to 80 cents per share, this year. At Q2's end, its CET1 ratio was 15.44%, more than twice the 7% regulatory minimum; the author believes the bank could keep raising the payout for years if it chooses.
Diluted earnings per share rose 14% year over year in 2025 and 18% in Q2 2026. The annualized dividend yield is nearly 2.6%, more than double the S&P 500 average.
East West ended Q2 with nearly $85 billion in assets. It reported a 1.75% return on average assets and a 16.88% return on average tangible common equity, while credit trends remained largely stable. The article says its valuation was about 75% above the regional-bank average. Based in Pasadena, the bank focuses on the Asian-American community and holds a China banking license, which the article describes as unique among U.S.-based regional banks.
