Bank of Hawaii’s fourth quarter was marked by robust performance, with management attributing the positive momentum to sustained net interest margin expansion, disciplined deposit cost management, and continued market share gains in its core Hawaii market. CEO Peter Ho pointed to a seventh consecutive quarter of net interest margin improvement and highlighted the bank’s ability to attract low-cost, noninterest-bearing deposits. Credit quality remained strong, with nonperforming assets declining and the loan portfolio showing resilience. Management credited both consumer and commercial teams for broad-based deposit growth.

Is now the time to buy BOH? Find out in our full research report (it’s free for active Edge members).

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions From Bank of Hawaii’s Q4 Earnings Call

• Matthew Clark (Piper Sandler) asked about the sustainability of noninterest-bearing deposit growth. CEO Peter Ho responded that while recent growth was outsized due to seasonality, ongoing efforts should support continued, but more moderate, gains.

• Jeffrey Allen Rulis (D.A. Davidson) inquired about margin trajectory and rate sensitivity. CFO Bradley S. Satenberg stated margin benefits should persist due to fixed asset repricing and effective deposit management, largely independent of near-term rate changes.

• Jared Shaw (Barclays) questioned the bank’s ability to maintain market share gains and deposit growth. Ho underscored long-term investments in service and digital capabilities as key to sustaining share leadership.

• Andrew Tyrrell (Stephens) asked about the duration of the margin expansion cycle and potential for increased share repurchases. Satenberg said margin tailwinds could last several years, and Ho indicated buybacks may increase if loan growth remains moderate.

• Kelly Ann Motta (KBW) requested details on fee income opportunities, particularly in wealth management. President James Polk highlighted ongoing client engagement activities, with expectations for steady growth in fee-based revenue.

Catalysts in Upcoming Quarters

Looking forward, our analysts will watch (1) whether the bank can maintain its momentum in noninterest-bearing deposit growth, (2) the pace and sustainability of net interest margin expansion as asset repricing continues, and (3) the success of fee income initiatives, especially in wealth management. Developments in the Hawaii real estate and economic environment will also be important for monitoring credit quality.

Bank of Hawaii currently trades at $74.78, up from $70.80 just before the earnings. Is the company at an inflection point that warrants a buy or sell? Find out in our full research report (it’s free).

High-Quality Stocks for All Market Conditions

The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).

Stocks that have made our list include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.