WaFd: 3 Key Takeaways for Long-Term Investors
On its fourth quarter of 2026 earnings call, held on Oct. 16, 2026, WaFd (NASDAQ:WAFD) announced full-year earnings per share grew 22% over the prior year. The bank is reallocating capital away from lower-yielding residential mortgages. Management plans to combine operations with EverBank in early 2027. Three things management said stand out.
WaFd sold off single-family mortgages and agreed to unload multifamily loans to exit low-yielding assets. Management intends to reallocate that capital into higher-yielding loan originations and investment securities.
A single default by a private equity-owned commercial and industrial (C&I) borrower created a $54 million impairment during the quarter. Management views this loss as an outlier that doesn’t reflect the bank’s broader credit quality.
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