Bank of Hawaii (BOH) Reports Next Week: Wall Street Expects Earnings Growth

Bank of Hawaii (BOH) is scheduled to report its Q2 2025 earnings on July 28, with market consensus projecting a 20.9% year-over-year EPS increase to $1.04 and 7.7% revenue growth to $169.08 million. Despite a positive Zacks Earnings ESP of +0.96%, the company's Zacks Rank #4 (Sell) complicates a definitive prediction of an earnings beat, even though BOH has historically surpassed EPS estimates in three of the last four quarters. Consequently, the article suggests BOH is not a compelling candidate for an earnings surprise.

Analysis

Bank of Hawaii (BOH) is approaching its Q2 2025 earnings report with consensus expectations of significant year-over-year growth, forecasting a 20.9% increase in EPS to $1.04 and a 7.7% rise in revenue to $169.08 million. Despite these strong headline projections, the outlook for an earnings beat is clouded by conflicting quantitative signals. The company exhibits a positive Zacks Earnings ESP of +0.96%, indicating that the most recent analyst estimates are more bullish than the standing consensus, a factor that typically precedes a positive surprise. However, this bullish indicator is sharply contrasted by the stock's Zacks Rank of #4 (Sell), which significantly undermines the predictive power of the positive ESP. While the consensus estimate has remained stable over the last 30 days and the company has a history of beating EPS estimates in three of the past four quarters, the combination of these signals makes it difficult to conclusively predict an upside surprise. The overall sentiment is therefore cautious, suggesting that underlying fundamental or technical concerns reflected in the Sell rating may outweigh the recent upward revisions by analysts.

Key Decisions for Investors

• Given the contradictory signals of a positive Earnings ESP and a #4 (Sell) Zacks Rank, investors should treat the upcoming earnings report with caution as the probability of a positive surprise is considered low despite strong consensus growth forecasts.
• Focus should be placed on management's forward-looking guidance during the earnings call, as this commentary on business conditions will be more critical than a headline beat or miss in determining the stock's subsequent price trajectory.
• Despite a history of earnings outperformance, the current Sell rating suggests underlying fundamental weaknesses, warranting a re-evaluation of the stock's risk-reward profile before establishing or adding to a position ahead of the report.