CATY:NSD-Cathay General Bancorp (USD)

COMMON STOCK | Banks-Regional | NSD

Last Closing Price

USD 35.55

Change

-1.16 (-3.16)%

Market Cap

USD 2.92B

Volume

0.29M

Average Target Price

USD 25.00 (-29.68%)
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, and other customary bank services, as well as securities and insurance products. As of October 26, 2020, it operated 38 branches in California; 10 branches in New York; 3 branches in Illinois; 4 branches in Washington; 2 branches in Texas; and 1 each branch in Maryland, Massachusetts, Nevada, New Jersey, and Hong Kong, as well as 1 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: 2021-01-21 )

Largest Industry Peers for Banks-Regional

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

-0.17 (-0.65%)

USD28.33B 36.55 N/A
SIVB SVB Financial Group

-7.12 (-1.54%)

USD23.98B 22.55 N/A
FITB Fifth Third Bancorp

-0.65 (-2.07%)

USD22.32B 15.64 N/A
FITBI Fifth Third Bancorp

+0.01 (+0.03%)

USD20.17B 14.40 N/A
HBAN Huntington Bancshares Incorpor..

-0.17 (-1.16%)

USD15.01B 20.65 N/A
HBANO Huntington Bancshares Incorpor..

-0.02 (-0.08%)

USD13.20B 35.75 N/A
SBNY Signature Bank

-1.96 (-1.28%)

USD8.23B 16.17 N/A
CBSH Commerce Bancshares, Inc

-0.64 (-0.93%)

USD8.06B 25.63 N/A
ZION Zions Bancorporation, National..

-0.91 (-1.88%)

USD7.93B 15.99 N/A
PBCTP People's United Financial, Inc

+0.17 (+0.61%)

USD6.80B 24.33 N/A

ETFs Containing CATY

Symbol Name Weight Mer Price(Change) Market Cap

N/A

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 10.44% 84% B 64% D
Dividend Return N/A N/A N/A N/A N/A
Total Return 10.44% 84% B 64% D
Trailing 12 Months  
Capital Gain -3.74% 70% C- 34% F
Dividend Return 3.36% 77% C+ 72% C-
Total Return -0.38% 72% C- 36% F
Trailing 5 Years  
Capital Gain 35.02% 55% F 47% F
Dividend Return 19.48% 64% D 68% D+
Total Return 54.50% 59% F 50% F
Average Annual (5 Year Horizon)  
Capital Gain -0.88% 38% F 35% F
Dividend Return 2.84% 71% C- 70% C-
Total Return 1.97% 41% F 40% F
Risk Return Profile  
Volatility (Standard Deviation) 21.73% 55% F 65% D
Risk Adjusted Return 9.06% 40% F 38% F
Market Capitalization 2.92B 88% B+ 78% C+
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%

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 13.02 54% F 67% D+
Price/Book Ratio 1.06 46% F 81% B-
Price / Cash Flow Ratio 6.72 79% C+ 46% F
EV/EBITDA N/A N/A N/A N/A N/A
Management Effectiveness  
Return on Equity 9.75% 74% C 76% C
Return on Invested Capital 11.71% 84% B 82% B-
Return on Assets 1.22% 80% B- 61% D-
Debt to Equity Ratio 5.19% 89% B+ 82% B-
Technical Ratios  
Short Ratio 4.74 40% F 29% F
Short Percent 3.01% 16% F 53% F
Beta 1.53 9% F 30% 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.

Underpriced on cashflow basis

The stock is trading low compared to its peers on a price to cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

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.

Superior Dividend Growth

This stock has shown top quartile dividend growth in the previous 5 years compared to its sector

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.

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