Regional Banks Vow ‘One-Offs’ Truly Were Blips and Not Omens (1)

Regional banks that reported earnings this month have a unified message about their recent back-to-back credit hits from bankruptcies and alleged frauds: It’s not 2023 all over again.

While not dismissing the seriousness of loans that suddenly went sour and double-pledging of assets, bankers and analysts portray the incidents as one-off blips in narrow corners of the economy, not signs of broader systemic problems.

“We feel comfortable with our asset quality. We think it remains stable from here,” Western Alliance Bancorp Chief Executive Officer Kenneth Vecchione said on an analyst call on Wednesday.

Shares of regional lenders have steadied ...