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Verdict
Quantitative factor alignment verified for current market regime.
Quant Score
Rank
#2020
Positioning
Market Dominance
Finance, Insurance, And Real Estate
Banking
$1.4B
Kevin S. Kim
Hope Bancorp, Inc. provides banking services for small and medium-sized businesses, and individuals in the United States. Its loan products include commercial loans to businesses for various purposes, such as working capital, purchasing inventory, debt refinancing, business acquisitions, and other business related financing needs. The company operated 47 full-service branches in California, Washington, Texas, Illinois, New York, New Jersey, Virginia, and Alabama.
Headcount
1.6K
HQ Base
LOS ANGELES, California
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Dates updated upon official exchange announcement.
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X-AXIS: EV/EBITDA (LOWER = CHEAPER) | Y-AXIS: ROE (HIGHER = ELITE) | RED CIRCLE = HOPE ANALYSIS TARGET
| Stock | Rating | Score▼ | Quality | Value | Momentum | P/E | EV/EBITDA | ROE | ROA | Gross Mgn | Op Mgn | Net Mgn | Rev Growth | Div Yield | D/E | Mkt Cap | AUDIT |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
$SII SPROTT INC. | 75 | 91 | 87 | 98 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$PUK PRUDENTIAL PLC | 73 | 88 | 97 | 80 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$NMR NOMURA HOLDINGS INC | 72 | 81 | 92 | 87 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$PSLV Sprott Physical Silver Trust | 69 | 82 | 80 | 98 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$UFCS UNITED FIRE GROUP INC | 68 | 81 | 93 | 76 | 5.0x | 3.5x | 13.2% | 4.1% | 99.9% | 14.7% | 11.1% | 9.2% | 2.1% | 16.0x | $775M | VS | |
$SLF SUN LIFE FINANCIAL INC | 68 | 83 | 95 | 63 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$CBOE Cboe Global Markets, Inc. | 68 | 75 | 63 | 77 | 21.3x | 15.7x | 24.0% | 13.7% | 41.7% | 32.4% | 26.4% | 8.2% | 1.1% | 30.0x | $25.7B | VS | |
$VTMX Vesta Real Estate Corporation, S.A.B. de C.V. | 67 | 69 | 77 | 80 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$PHYS Sprott Physical Gold Trust | 67 | 64 | 82 | 91 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$GLDM World Gold Trust | 66 | 54 | 85 | 92 | 11.3x | 11.3x | - | 20.9% | 100.0% | 97.1% | 554.8% | -19.0% | 0.0% | - | $32.0B | VS | |
$HOPE HOPE BANCORP INC | 50 | 34 | 56 | 60 | 32.3x | 23.4x | 2.1% | 0.3% | 0.0% | 7.2% | 5.2% | 5.2% | 5.2% | 720.0x | $1.4B | ||
| SECTOR BENCH | - | - | - | - | - | 11.9x | 7.8x | 9.0% | 1.3% | 77.7% | 18.1% | 21.9% | 10.7% | 2.0% | 0.5x | - | REF |
HOPE BANCORP INC (HOPE) receives a "Reduce" rating with a composite score of 49.9/100. It ranks #2020 out of 7,333 stocks in our coverage universe and carries a 2-star rating. Ratings are driven by a 6-factor quantitative model measuring quality, value, momentum, investment, stability, and short interest.
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Outperforming peers — winners tend to keep winning over 3-12 months
Fair valuation relative to peers
Weak fundamentals — higher risk of value trap
Average volatility — neutral timing signal
Moderate investment profile
Mid-range overall rating
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Relative valuation derived from Finance, Insurance, And Real Estate sector benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Re-calculated daily.
Projection based on user-defined inputs. Re-calculated daily against current market data.
Reverse DCF Framework — Mauboussin Methodology
Institutional-grade Reverse DCF analysis. This model identifies the growth hurdles embedded in current market prices. When implied growth is significantly lower than historical or projected rates, a margin of safety may exist. Re-audited daily.
No analyst ratings for HOPE.
View All Ratings| Factor | Global | Sector | Tilt |
|---|---|---|---|
| PROFITABILITY | 34 | 61 | -27DRAG |
| MOMENTUM | 60 | 66 | -6DRAG |
| VALUATION | 56 | 77 | -21DRAG |
| INVESTMENT | 43 | 83 | -40DRAG |
| STABILITY | 52 | 52 | 0NEUTRAL |
| SHORT INT | 50 | 55 | -5NEUTRAL |
Global = full universe. Sector = relative to industry peers. Positive tilt indicates idiosyncratic strength.
ROE proxy 2.1% (sector 9.0%)
GM 0% vs sector 78%, OM 7% vs sector 18%
Capital turnover N/A
Rev growth 5%, 10yr history
Interest coverage 0.3x, Net debt/EBITDA -2.4x
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation and elite competitive moats.
Profit generated per dollar of shareholder equity
Efficiency of asset utilization
Pricing power and cost efficiency
Core business profitability
Bottom-line profitability
The Quality factor evaluates the persistence and magnitude of realized cash flows. Companies with scores >70 exhibit superior pricing power and structural financial resilience through diverse economic regimes.
Our uncertainty rating tracks the predictability of future cash flows and potential for permanent capital loss. Moderate visibility with standard industry cyclicality.
We rate HOPE BANCORP INC (HOPE) as a Reduce with a composite score of 49.9/100 at a current price of $11.63. The quantitative profile shows weakness across multiple dimensions, suggesting limited upside potential.
HOPE BANCORP INC holds a top-quartile position (#0 of 50) within the Finance, Insurance, And Real Estate sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 49.9/100 places it at rank #2020 in our full universe.
The near-term outlook is constructive, with revenue growing at 5% and momentum in the 60th percentile confirming positive market sentiment. The combination of strong top-line growth and favorable price dynamics suggests the company is executing well on its growth strategy.
No Moat
High
Poor
Fair Value
Stable competitive position in a defensive sector.
Leverage of 720% D/E amplifies downside risk.
Below-average quality raises earnings sustainability concerns.
Vulnerability to macroeconomic shocks and interest rate volatility.
HOPE BANCORP INC represents a reduce based on multi-factor quantitative performance.
HOPE BANCORP INC receives a Reduce rating from our analysis, with a composite score of 49.9/100 and 2 out of 5 stars, ranking #2020 out of 7,333 stocks. HOPE's factor profile shows weakness across multiple dimensions, suggesting the stock may underperform going forward. Existing holders may want to consider trimming positions or tightening stop-losses.
HOPE's quality score of 34/100 is below average, suggesting challenges with profitability or capital efficiency. The company reports a return on equity of 2.1% (sector avg: 9.0%), gross margins of 0.0% (sector avg: 77.7%), net margins of 5.2% (sector avg: 21.9%). Investors should examine whether management is actively addressing these weaknesses or if they reflect structural industry headwinds.
HOPE's value score of 56/100 indicates the stock is fairly valued based on its current fundamentals. Key valuation metrics include a P/E ratio of 32.33x, an EV/EBITDA of 23.44x, a P/B ratio of 0.69x. At this level, neither a clear bargain nor overpriced, the stock's attractiveness depends more on forward growth expectations and qualitative factors.
With an investment score of 43/100, HOPE exhibits moderate growth-oriented spending. Key growth metrics include revenue growth of 5.2% vs. a sector average of 10.7% and a return on assets of 0.3% (sector: 1.3%). The company appears to be balancing growth investments with capital returns, though the pace of investment may not be enough to accelerate top-line growth meaningfully.
HOPE demonstrates moderate momentum with a score of 60/100, suggesting a neutral price trend without strong directional conviction. Revenue growth stands at 5.2% year-over-year, while a beta of 0.90 reflects its sensitivity to broader market moves. Moderate momentum may indicate the stock is consolidating or transitioning between trends, warranting close monitoring of upcoming catalysts.
With a stability score of 52/100, HOPE exhibits average financial resilience. Key stability metrics include a beta of 0.90 and a debt-to-equity ratio of 720.00x (sector avg: 0.5x). While the balance sheet is not a major concern, the stock is subject to typical market volatility and may experience sharper drawdowns during risk-off episodes.
The short interest score of 50/100 for HOPE suggests somewhat elevated bearish positioning by institutional traders. Specific risk factors include elevated leverage (D/E: 720.00x), small-cap liquidity risk. With a $1.4B market cap (small-cap), HOPE BANCORP INC may experience above-average volatility. Investors should consider whether the short thesis has merit or if it creates a potential short-squeeze opportunity.
HOPE BANCORP INC offers an attractive dividend yield of 5.2%, placing it among the higher-yielding stocks in its peer group. This compares to a sector average dividend yield of 2.0%. A yield this high can provide meaningful income, but investors should verify the payout is sustainable by examining the payout ratio, free cash flow coverage, and any history of dividend cuts.
HOPE BANCORP INC is a small-cap company in the Finance, Insurance, And Real Estate sector, ranked #0 of 50 in its sector (100th percentile) and #2020 of 7,333 overall (72nd percentile). Key comparisons include ROE of 2.1% trailing the 9.0% sector median and operating margins of 7.2% below the 18.1% sector average. This top-quartile standing reflects exceptional competitive strength relative to Finance, Insurance, And Real Estate peers.
While HOPE currently exhibits a REDUCE profile, superior opportunities exist within the FINANCE, INSURANCE, AND REAL ESTATE sector. Our model identifies several "Strong Buy" candidates with higher quality scores and more attractive valuations among direct industry competitors.
View Top Finance, Insurance, And Real Estate Alpha →Quant Factor Profile
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Improvement in Quality (34) would have the largest impact on the composite score.
EV/EBITDA 202% ABOVE SECTOR MEDIAN
ROE 76% BELOW SECTOR MEDIAN
Gross Margin 100% BELOW SECTOR MEDIAN
Above 50MA
37.18%
Net New Highs
+51081

Hope Bancorp reported Q1 2025 net income of $0.17 per diluted share, with net interest income declining 1% sequentially to $101 million due to Fed rate cuts and lower loan balances. The company completed its merger with Territorial Bancorp on April 2, 2025, adding $1.7 billion in low-cost deposits and $1 billion in residential mortgage loans. Management revised 2025 guidance downward for loan and net interest income growth to high single-digit rates, but upgraded noninterest income expectations to mid-20s percentage growth. Asset quality improved with nonperforming assets down 21% year-over-year.

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Why Hope Bancorp’s Price Target Just Got Tweaked Analysts have lifted their Hope Bancorp target to $13.17, with fair value, the discount rate, and revenue growth assumptions all reworked to better line up with how they currently see the bank’s risk and earnings profile. The fair value figure now sits at $13.17, the discount rate has been adjusted to 6.98%, and revenue growth expectations have been set at 21.57%. Together, these changes reflect a more finely tuned view of the bank’s potential...
Hope Bancorp, Inc. recently reported fourth-quarter 2025 results, with net interest income rising to US$127.41 million and net income reaching US$34.47 million, alongside a US$0.14 per-share quarterly dividend payable on or about February 20, 2026 to shareholders of record on February 6, 2026. Management highlighted that growth in core customer relationships, disciplined deposit cost management and successful integration of its Hawaii acquisition underpinned higher earnings and improved core...
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