저자: Justin · 외국인
요약 보기
Li Lu가 13F 기준으로 보유 비중을 늘리는 종목 중 East West Bank(EWBC)를 집중 분석하는 영상이다. 결론: 영상 제작자는 EWBC가 현재 저평가 상태이며 향후 5년 기준 연 20% 이상의 기대수익이 가능하다고 본다. Li Lu 포트폴리오 설명: DataRoma 기준 보유 종목은 BAC, GOOGL, BRK, AAPL, EWBC 등이며, EWBC 지분을 분기에 약 20%(약 48만 주, 포트폴리오 약 1.4%) 추가했다. EWBC 사업 분석: 평균자산이익률(ROA)은 최근 약 1.75~2%로 매우 높고, 평균 유형자기자본이익률(ROTE)은 약 20~21%로 대형은행(11~13%)을 크게 상회한다고 설명한다. 자본비율은 약 12.68%로 규제 기준(약 6.5%)을 크게 웃돈다. 사업 구조: 중국계·아시아계 미국인을 주로 상대하는 지역은행으로, 미국 내 지점은 캘리포니아 약 75%, 텍사스 약 15%에 집중되어 있고 중국에도 지점이 있다. 중국·미국 양측에서 영업하는 은행이 드물어 경쟁우위가 있다고 본다. 재무 지표: 순이자마진은 약 40%대, 영업이익률은 약 50~51%(정점 약 57%)로 제시되며, 주당 잉여현금흐름은 약 6달러다. 배당성향은 약 21%로 여유가 있다고 본다. 주가·밸류에이션: 현재 주가 약 54.8달러이며 지난 1년간 약 29% 하락, 3년 기준으로는 약 46% 상승했다. 유형장부가치 배수는 현재 약 1.29배로, 과거 1년 평균 약 1.6배, 3년 평균 약 1.8배 대비 낮다. 수익률 추정: 장부가치 성장과 배당을 반영한 5년 기대수익률은 약 26%, 수익성 기반 방식은 약 15%, 주가순자산 기반 방식은 약 31%로 제시되며 평균은 약 24%다. 리스크: 지역은행 특성상 예금 유출과 손실 위험이 있으며, 2023년 실리콘밸리은행 파산 이후 업종 전체가 영향을 받았다. 제작자는 직접 리서치를 권고한다. 출연자 전망: 제작자는 EWBC를 매력적인 매수 후보로 보며, 실적과 경쟁우위를 근거로 긍정적이다.
다듬은 글
Li Lu is actively increasing the share of one particular stock in his portfolio. So in this video, we'll take a detailed look at this stock to understand why he's buying it and continuing to increase his position. Hello everyone, welcome to the channel. My name is Justin, and as a private investor, I'm always interested in what super investors, including Li Lu and many other value investors, are doing .
Li Lu is called the " Chinese Warren Buffett" because he has a long and impressive track record of outperforming the market. In fact, I recently read an article that said his portfolio was showing over 30% annual returns. I don't know if that's true, but if so, that makes him one of the best investors of all time.
It seems that the only one who consistently showed around 30% profitability during his career was Peter Lynch. He managed the Magellan fund for 13 years, starting in the late 80s, and is certainly one of the best investors. So, from what I've read, Li Lu is definitely also an extremely impressive investor .
So when he buys stocks, and especially increases his position quarter after quarter, it really interests me. Let's move on to the DataRoma service and look at its current portfolio. These positions are based on his 13F reports. Therefore, only stocks on the American stock exchange will be displayed here.
That is, either the New York Stock Exchange or NASDAQ. In this video, we will not focus on any international promotions. Only those based in the US. Now we'll quickly review everything. So, as you can see on the screen, Li Lu now owns about six American stocks. These are Bank of America, Google, Berkshire Hathaway, Google again, Apple, and also East West Bank.
You see, he added 20% to his East West Bank Corp. shares in the quarter. That's, let's see, about an additional 480,000 shares per quarter. This is a change of approximately 1.4% in his portfolio. Again, this only applies to US stocks. I want to tell you more about East West Bank, why it might be buying them, and to understand this bank to understand what makes it interesting.
If I open their latest financial results presentation, which I found on their investor website, here it is . There are a few things that immediately catch my eye. The first of these is the return on average assets. This bank's return on average assets is very, very impressive. When I look back over the last few years, their average is around 1.75% , and you can even see that last quarter it was 1.85%, and the quarter before that it was 2% .
So it's really quite impressive to have such a high return on assets for a bank. Keep in mind that banks make money on their assets. They provide loans using their own funds. Whether it's commercial real estate, retail, or just loans in general—these are all assets of the company. This is how they generate income by charging interest on these specific loans.
Therefore, this level of profitability of average assets is extremely good. Another indicator is the profitability of average tangible equity. It is around 21% for the past quarter, and for the past few years they have also been hovering around the 20% mark. Again , this is extremely impressive. Some large banks, such as Wells Fargo or JP Morgan Chase, have average rates in the 11–13% range.
So a figure of about 20% is really very, very impressive. Remember that this is a small regional bank. They focus primarily on serving Chinese and Asian Americans . They have 120 branches in the United States and China combined . Although it is a regional bank, 75% of their US portfolio is concentrated in California.
About 15 % is in Texas, and they're really focused on the Los Angeles market. If you think about it, Los Angeles is one of the five cities in the world with the highest GDP. So it's overall a great place to do business. There are very few banks that operate in both the US and China. This is what gives them a competitive advantage in the industry.
This is a very successful business. They funded BYD directly. This is a real money-making machine. We'll look at their financials now, but they're very, very impressive. Their net interest margin is around 40%, and we'll take a look at their profitability figures soon. And their free cash flow per share is about $6.
This all looks very, very impressive. And if we scroll down and look at the total capital ratio, we see that last quarter it was about 12.68 %. And I believe the requirement is about six and a half percent. So they're actually doubling that, which is really good. This is a good sign that the company is well managed.
It won't go bankrupt anytime soon. And that's what you worry about with these regional banks. This is the reason why their stock price has fallen so much. At first glance, it seems to me that their shares should not have fallen as much as many other regional banks. They were simply pulled down. The whole industry, when Silicon Valley Bank actually went bankrupt a few months ago, and these guys, along with other regional banks, were also affected.
Now, if we quickly go to the financials of this business, it's on the Ticker Terminal, if you're interested. You can see that they had about $2.3 billion in net interest income last quarter. Their total revenue was again around $2.3 billion. But if we scroll down, it's really impressive. So, their net profit margin on common stock, excluding additional items, is about 53%.
So their operating margin is actually around 50-51 %. At its peak, it was actually around 57%. It has declined slightly over the past few years, but overall it is extremely impressive for a bank to have such margin figures. If you look at other regional banks they are compared to, the only one that even comes close to them in terms of profitability is one of the regional banks in New York.
Besides, I mean, they don't really have any close competitors. Now, if you're wondering, you know how much this bank costs, right? First we need to see what the stock price is. So, the stock price is now $54.779. So, we have a price chart for this company. It has fallen by about 29% over the past year.
Let me zoom in a little bit so we can take a look. So, 29%, it has fallen over the last 3 years, but it has grown by about 46%. So, things were going well for the last three years, but in the last year, due to the collapse of regional banks, they have generally fallen. So, again, that's about $54. Now let's evaluate the value of the bank.
You know, there are several ways to do this. You know, one of the methods that a lot of people use is looking at the book value of a single share. So, we'll take a quick look at the chart and then move on to my Excel spreadsheet where I'll show you what I've calculated or what kind of return I expect based on the current stock price.
We look at the tangible book value of this company's stock over the last year. It is currently trading at a multiple of around 1.3. Over the past year, the average was about 1.6. Over the past three years, their average was 1.8. They are currently at 1.29. It looks like it's about a 30% annual growth rate.
If you buy them now, based on three-year historical averages. In five years, the figure is again around 1.75, and now they are trading at 1.29. Quite interesting. So, from a historical perspective, they look undervalued in terms of tangible book value per share. That's not all, but it's certainly interesting.
And remember, as I said, banks make money on their assets, right? So you want banks to have a lot of assets. One of them—I look specifically at the asset-to- equity ratio. In this particular case, the bank has a ratio of about 12 for assets to capital, which is very, very solid. You want to see banks have double-digit ratios.
This is a very good sign that the business is being run with high quality. Now let's go to my Excel spreadsheet and see what ROI or return on investment I calculated for this particular stock. OK. As I said , there are different ways to evaluate a bank. In this particular case, I will look at investment returns.
So, based on the book value, as well as dividends, I will estimate what income I can expect. Also, profit yield, which takes into account the profitability of assets and the ratio of price to book value, and, in fact, the ratio of current price to book value compared to normalized. This is how I get this data thanks to the input metrics here.
The return on assets, in my opinion, is on average about 1.75% for this bank , if you look at the last few years, which is again very solid. Their asset-to-equity ratio is about 11. I mentioned this earlier. Their payout ratio is only 21%. So, they now have enough funds to pay dividends. The current price- to-book value ratio is not the material book value.
It's just the book value, which is 1.2. The normalized book value, I think, is 1.75. The expansion coefficient is about five. So based on that, I think the investment return is about 26%, which is just incredible. This is the ROI I expect to receive over the next 5 years, given book value growth and current dividends.
This is also assuming they continue to pay dividends at their current rate, which should be acceptable. Again, the payout ratio is only 21%. Now, as for the return on earnings, which takes into account return on assets, return on equity, and price-to-book ratio , I get 15% . return on investment in this case.
And if we simply take the return on price-to-book value ratio, I get 31% . expected profitability. So, if we take the average, it's 24%. Overall, it's really impressive. So from that perspective, it looks like an interesting option to buy. Depending on how you look at it—whether as investment income, or as profitability or price-to- book value, it certainly looks like a bargain right now.
So, East West Bank Corp is looking very interesting right now. I mean, from a purely cost perspective, at first glance, it's pretty cheap. Of course , this business has its risks. As with any regional banks, you need to be careful and make sure that their deposits grow and the company does not lose money.
As for this bank, their net margin and operating margin are extremely impressive. The ratio of assets to equity is very good. The return on assets is simply incredible. Overall, the bank appears to be very well managed. And what's most interesting to me is their competitive advantage . They serve Asian Americans and China directly, where they have few competitors.
Few banks are engaged in this particular area. And being headquartered in Los Angeles, one of the cities with the largest GDP in the world, is a significant factor. I think this provides them with a very solid customer base. So, 75% of their portfolio in the United States is in Los Angeles. 15% is in Texas.
Well, but it's all concentrated in that area, and they do have a little bit in New York. But not that much. But at first glance, it looks like a very good buy. Always do your own research to understand if it's worth it. But I understand why Leelu might buy these particular stocks. And keep in mind, he was born in China.
I think he knows the Chinese market better than anyone else. So that certainly makes me interested in these stocks, even though they have gained a bit in the last couple of weeks. The price of around $54 looks like a good buy, and again, the return on reinvestment, according to my calculations, is around 25-26 %.
So that's pretty interesting, but I'd be interested to know your opinion: do you own this bank? How much do you know about him? What do you think about Lila? If you haven't liked this video yet, please do so before leaving. This helps the channel a lot. I personally appreciate it very much. See you in the next video. Take care of yourself and may God protect you.
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