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Why First Hawaiian Bank (FHB) Stock Is Up Today

FHB Cover Image

What Happened?

Shares of hawaiian banking company First Hawaiian (NASDAQ: FHB) jumped 3.3% in the pre-market session after the company reported strong second-quarter financial results that surpassed Wall Street's expectations for both earnings and revenue. 

The Honolulu-based bank posted a net income of $73.2 million, or $0.58 per share, which comfortably beat the average analyst estimate of $0.49 per share. Revenue for the period also topped forecasts. This performance was driven by a rise in net interest income to $163.6 million, supported by an expanded net interest margin of 3.11%. The bank also saw growth in noninterest income and improved its efficiency ratio, indicating solid operational management. Further boosting investor confidence, the company declared a quarterly dividend of $0.26 per share and revealed it had repurchased 1.04 million shares.

After the initial pop the shares cooled down to $25.32, up 0.6% from previous close.

Is now the time to buy First Hawaiian Bank? Access our full analysis report here, it’s free.

What Is The Market Telling Us

First Hawaiian Bank’s shares are not very volatile and have only had 5 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.

First Hawaiian Bank is down 1% since the beginning of the year, and at $25.32 per share, it is trading 10.5% below its 52-week high of $28.30 from November 2024. Investors who bought $1,000 worth of First Hawaiian Bank’s shares 5 years ago would now be looking at an investment worth $1,498.

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