DA Davidson increased its price target on Bank of Hawaii (NYSE:BOH) to $81.00 from $73.00 and left its rating at Neutral, pointing to improved net interest margin (NIM) traction as a central reason for raising its earnings outlook. The bank’s stock was trading at $77.41 at the time of the update, representing a 9.3% rise from the prior close of $70.80.
The research house said stronger-than-expected NIM dynamics prompted it to lift earnings projections by more than 10% for both 2026 and 2027. That adjustment is consistent with InvestingPro data showing two analysts have recently revised their earnings estimates upward for the upcoming period.
DA Davidson put its 2026 earnings per share (EPS) estimate at $6.10, up from $5.50, and increased its 2027 EPS estimate to $6.75 from $5.90. The firm attributed the revisions to an improved net interest income outlook, while noting that some of the gains are partially offset by higher expense assumptions.
The firm highlighted several earnings drivers it views as supportive of the bank’s financial trajectory. Those include an active share buyback program and what the research shop described as a limited threat of materially increasing credit costs, both of which contribute to favorable earnings momentum and profitability metrics, according to DA Davidson.
Under DA Davidson’s updated valuation framework, the $81 price target equates to 12.0 times its 2027 EPS estimate and 2.2 times current tangible book value.
Separately, Bank of Hawaii reported fourth-quarter 2025 results that outperformed expectations. The bank posted EPS of $1.39, beating forecasts of $1.26 and marking a 63% increase year over year. Revenue for the quarter reached $189.65 million versus anticipated revenue of $184.83 million.
Following those results, Stephens raised its price target on Bank of Hawaii to $83 from $78 and maintained an Overweight rating. Stephens noted that the bank’s pre-provision net revenue came in 6.7% above its own forecast and 7.4% above Street expectations.
Taken together, the analyst updates and the quarterly beat reflect growing analyst confidence in Bank of Hawaii’s near-term earnings outlook and overall financial health. The combined signals from DA Davidson and Stephens underscore a market view that improving NIM, opportunistic buybacks, and controlled credit costs are driving upward revisions to forecasts.