15 Small Cap Financial Stocks Hedge Funds Are Buying

13. East West Bancorp, Inc. (NASDAQ:EWBC)

Market Capitalization: $10.67 Billion

Number of Hedge Fund Holders: 33

East West Bancorp, Inc. (NASDAQ:EWBC) is a bank holding company of East West Bank. It provides a range of banking services through Consumer and Business, Commercial, Treasury, and other Banking segments. The company had more than $70 billion in assets in 2024.

On April 8th, Jared Shaw, an analyst from Barclays maintained a Buy rating on the stock with a price target of $105. Over the past 5 years, East West Bancorp, Inc. (NASDAQ:EWBC) has been focused on growing its deposits as one of the key drivers of its balance sheet. As a result, the bank has been able to fund new loans while maintaining a strong liquidity position. In 2024 alone, the bank achieved a 13% growth in deposits and reached $63.2 billion. Moreover, the company also grew its total average loans by 6% in 2024, which was in alignment with the previous guidance. Management expects Commercial and Industrial Lending to pick up growth in Q1 of 2025, which will improve the overall business for the company. It is one of the small-cap financial stocks that hedge funds are buying.