CATY:NSD-Cathay General Bancorp (USD)

COMMON STOCK | Banks-Regional | NSD

Last Closing Price

USD 41.27

Change

+0.32 (+0.78)%

Market Cap

USD 3.26B

Volume

0.28M

Average Target Price

USD 42.50 (+2.98%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

Cathay General Bancorp operates as the holding company for Cathay Bank that offers various commercial banking products and services to individuals, professionals, and small to medium-sized businesses in the United States. The company offers various deposit products, including passbook accounts, checking accounts, money market deposit accounts, certificates of deposit, individual retirement accounts, and public funds deposits. It also provides loan products, such as commercial mortgage loans, commercial loans, small business administration loans, residential mortgage loans, real estate construction loans, and home equity lines of credit, as well as installment loans to individuals for automobile, household, and other consumer expenditures. In addition, the company offers trade financing, letter of credit, wire transfer, forward currency spot and forward contract, traveler's check, safe deposit, night deposit, social security payment deposit, collection, bank-by-mail, drive-up and walk-up window, automatic teller machine, Internet banking, investment, and other customary bank services, as well as securities and insurance products. As of January 27, 2021, it operated 38 branches in California; 10 branches in New York; three branches in Illinois; four branches in Washington; two branches in Texas; and one each branch in Maryland, Massachusetts, Nevada, New Jersey, and Hong Kong, as well as a representative office in Beijing, Taipei, and Shanghai. The company was founded in 1962 and is headquartered in Los Angeles, California.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2021-04-16 )

Largest Industry Peers for Banks-Regional

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
HBANN Huntington Bancshares Incorpor..

-0.14 (-0.54%)

USD28.48B 37.87 N/A
SIVB SVB Financial Group

+7.23 (+1.41%)

USD27.62B 22.37 N/A
FITB Fifth Third Bancorp

+0.17 (+0.45%)

USD27.03B 20.78 N/A
FITBI Fifth Third Bancorp

-0.14 (-0.49%)

USD19.93B 15.57 N/A
HBAN Huntington Bancshares Incorpor..

+0.08 (+0.50%)

USD16.46B 23.33 N/A
SBNY Signature Bank

-4.41 (-1.90%)

USD13.37B 23.29 N/A
HBANO Huntington Bancshares Incorpor..

-0.03 (-0.12%)

USD13.20B 36.83 N/A
ZION Zions Bancorporation, National..

+0.31 (+0.56%)

USD9.13B 18.48 N/A
CBSH Commerce Bancshares, Inc

+0.40 (+0.52%)

USD9.02B 26.52 N/A
FCNCA First Citizens BancShares, Inc

+6.32 (+0.74%)

USD8.27B 17.91 N/A

ETFs Containing CATY

Symbol Name Weight Mer Price(Change) Market Cap
KBWR Invesco KBW Regional Bank.. 0.00 % 0.35 %

+0.29 (+0.47%)

USD0.09B

Market Performance

  Market Performance vs.
Industry/Classification (Banks-Regional)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 28.21% 67% D+ 78% C+
Dividend Return 0.96% 60% D- 63% D
Total Return 29.17% 67% D+ 78% C+
Trailing 12 Months  
Capital Gain 76.14% 65% D 61% D-
Dividend Return 5.29% 77% C+ 74% C
Total Return 81.43% 67% D+ 63% D
Trailing 5 Years  
Capital Gain 36.25% 38% F 45% F
Dividend Return 17.37% 53% F 64% D
Total Return 53.62% 43% F 48% F
Average Annual (5 Year Horizon)  
Capital Gain -0.68% 40% F 30% F
Dividend Return 2.94% 73% C 71% C-
Total Return 2.25% 47% F 35% F
Risk Return Profile  
Volatility (Standard Deviation) 24.80% 46% F 65% D
Risk Adjusted Return 9.09% 43% F 33% F
Market Capitalization 3.26B 88% B+ 80% B-
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 87%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Banks-Regional)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 14.27 54% F 64% D
Price/Book Ratio 1.36 27% F 77% C+
Price / Cash Flow Ratio 10.19 60% D- 39% F
EV/EBITDA N/A N/A N/A N/A N/A
Management Effectiveness  
Return on Equity 9.71% 69% D+ 76% C
Return on Invested Capital 9.20% 84% B 79% C+
Return on Assets 1.23% 79% C+ 63% D
Debt to Equity Ratio 4.93% 93% A 80% B-
Technical Ratios  
Short Ratio 3.58 40% F 32% F
Short Percent 2.65% 20% F 58% F
Beta 1.54 9% F 28% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

What to not like:
Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

High volatility

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector