To The Moon

$WaFd(WAFD)$'s agreement to combine with EverBank would create a regional lender with approximately $75 billion of assets and a footprint stretching from digital deposits to physical branches across the western United States. The projected earnings increase is attractive, but the transaction will ultimately be judged by funding stability, credit quality and tangible book value rather than scale alone.

The companies announced the $3.9 billion reverse merger on September 7. EverBank will merge into publicly traded WaFd, which will adopt the EverBank Financial name and EVBK ticker. EverBank investors will own 59.2% of the combined company and existing WaFd shareholders will own 40.8%. Closing is expected in early 2027, subject to shareholder and regulatory approvals. WaFd's investor-relations page links the official announcement and presentation, while Reuters' September 7 report provides the transaction structure.

Management expects approximately 29% EPS accretion in 2027 and recovery of tangible book value dilution in less than two years. Those are forecasts, not completed outcomes. The bullish thesis is complementary funding and distribution. EverBank brings a national digital platform, while WaFd contributes more than 200 branches and relationships in western markets. A broader deposit base can reduce reliance on any single geography or funding channel, while technology and administrative consolidation may lower unit costs.

The bearish case is integration and balance-sheet risk. Combining loan books can diversify exposure, but it can also reveal different underwriting standards and concentrations. Deposit customers can move quickly if pricing or service changes. Cost savings may require branch closures, systems conversion and staff reductions before benefits arrive. Private-equity-backed EverBank investors will also become the majority owners, making governance and future share sales relevant to WaFd's public holders.

$WaFd(WAFD)$ closed September 4 at $36.30, up 0.86%, after trading from $35.82 to $36.40 on approximately 491,000 shares. Immediate support is $35.50 to $36, followed by $33 to $34; resistance is $36.50 to $38 and then $40. The September 8 reaction will establish the more useful event range.

A merger announcement can create a gap that invalidates pre-event levels. If WAFD holds $35 after the market reopens and later closes above $38, an illustrative 30 to 45-day $32.50/$30 bull put spread could place defined risk below the base. Listed strikes, credit and liquidity must be verified. A close below $35 would weaken the setup; a loss of $33 alongside deposit outflows or adverse deal revisions would invalidate it.

The evidence leans neutral to moderately bullish. The strategic fit and projected accretion are appealing, but funding quality and integration will determine whether scale creates value. The view would be invalidated by rising deposit costs, credit deterioration, slower tangible-book recovery or unfavorable governance terms. This is personal opinion for education, not financial advice or an instruction to enter a trade.