Western Alliance Bancorp stock up 10% after deposits grow; regional bank stocks climb

Western Alliance Bancorp’s stock
WAL,
+2.70%
is up 10% in premarket trades Wednesday after it said its deposits have grown by $2 billion during the second quarter. As of May 12, the bank said it had about $50 billion in deposits, up from $47.6 billion as of March 31, according to a filing late Tuesday. Western Alliance Bancorp is also nearing the completion of about 50% in sales of the $6 billion of loans reclassified to held-for-sale in the first quarter, as part of its balance sheet repositioning. Jefferies analyst Casey Haire reiterated a buy rating on Western Alliance and said the bank’s update reaffirms deposit stability. “The update is another data point that demonstrates WAL is distancing itself from recent industry turmoil and should be well received by market,” Haire said. Prior to Wednesday’s gains, Western Alliance Bancorp stock is down 47% in 2023, amid turmoil among regional-bank stocks following the collapse of Silicon Valley Bank, First Republic Bank and Signature Bank since March. PacWest Bancorp
PACW,
-14.58%
is up 8.3% in premarket trades, while Zions Bancorp
ZION,
-2.38%
is up by 4.2%, First Horizon Corp.
FHN,
+1.89%
is up 3.9% and PNC Financial Services Group Inc.
PNC,
-1.83%
is up by 3.8%.