Zacks Upgrades Hope Bancorp to Hold Rating

Analysts cite improved quarterly performance and acquisition of SMBC commercial unit as factors behind the rating change.

Apr. 2, 2026 at 11:44am

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Zacks Research has upgraded shares of Hope Bancorp (NASDAQ:HOPE) from a 'strong sell' rating to a 'hold' rating, citing the bank's recent quarterly earnings beat and its planned acquisition of SMBC's U.S. commercial banking unit. The upgrade comes as Hope Bancorp looks to expand its commercial lending franchise in the Los Angeles market through the all-cash deal.

Why it matters

The Zacks upgrade and Hope Bancorp's acquisition plans signal that the regional bank is making progress in strengthening its financial performance and commercial lending capabilities, which could help it better compete in the competitive California banking landscape.

The details

In a research note, Zacks analysts noted that Hope Bancorp recently reported better-than-expected quarterly earnings and showed around 23.6% year-over-year revenue growth. The analysts also cited the bank's planned acquisition of SMBC's U.S. commercial banking unit as a positive factor behind the rating change. The all-cash deal is expected to expand Hope Bancorp's commercial lending franchise in the Los Angeles market by adding loans, deposits and client relationships.

  • Hope Bancorp reported Q4 2025 earnings on January 27, 2026.
  • Zacks upgraded Hope Bancorp to a 'hold' rating on April 2, 2026.

The players

Hope Bancorp

A California-chartered financial institution serving small and middle-market businesses, professionals and affluent individuals in the Los Angeles area.

Zacks Research

An independent equity research firm that provides stock analysis and ratings.

SMBC

Sumitomo Mitsui Banking Corporation, a major Japanese banking group that is selling its U.S. commercial banking unit to Hope Bancorp.

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What’s next

Investors will be watching to see if Hope Bancorp can successfully integrate the SMBC commercial banking unit and capitalize on the expanded lending opportunities in the Los Angeles market. The bank's ability to maintain strong financial performance will also be a key focus.

The takeaway

The Zacks upgrade and Hope Bancorp's acquisition plans suggest the regional bank is making progress in strengthening its commercial lending business and competitive position in California, though execution risks around the SMBC deal remain.