Seeking Alpha

There aren't a lot of bargains left in banking. Investors have largely bid up the credit-improvement stories and the "risk-on" trade has led to lower implied costs of equity and improving expectations for returns on capital in the coming years. Wilshire Bancorp (WIBC) isn't hugely cheap today, but the expectations here seem to be closer to rational, and Wilshire has the added benefit of showing solid growth at a time when many other banks are struggling to do so. Investors need to be aware of the risks of the company's lending book and that management may not achieve the targeted cost savings from its mergers, but I wouldn't be in a big hurry to take profits here...

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