Cathay General Bancorp (NASDAQ:CATY) Stock Price Expected to Rise, DA Davidson Analyst Says

Cathay General Bancorp (NASDAQ:CATY - Get Free Report) had its price objective raised by equities researchers at DA Davidson from $45.00 to $51.00 in a research report issued on Wednesday, July 23rd, Marketbeat Ratings reports. The firm presently has a "neutral" rating on the bank's stock. DA Davidson's price target would suggest a potential upside of 11.74% from the stock's previous close. DA Davidson also issued estimates for Cathay General Bancorp's Q3 2025 earnings at $1.20 EPS, FY2025 earnings at $4.57 EPS and FY2026 earnings at $5.07 EPS.

CATY has been the topic of a number of other research reports. Stephens reiterated an "overweight" rating and set a $51.00 price target on shares of Cathay General Bancorp in a report on Tuesday, April 22nd. Jefferies Financial Group set a $53.00 price target on shares of Cathay General Bancorp and gave the stock a "buy" rating in a report on Wednesday, May 21st. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and two have assigned a buy rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus target price of $49.71.

Cathay General Bancorp Price Performance

CATY stock opened at $45.64 on Wednesday. The company has a market capitalization of $3.20 billion, a P/E ratio of 11.02 and a beta of 0.97. The company has a fifty day moving average price of $45.68 and a 200-day moving average price of $44.41. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.05 and a current ratio of 1.05. Cathay General Bancorp has a 52-week low of $36.06 and a 52-week high of $55.29.

Cathay General Bancorp (NASDAQ:CATY - Get Free Report) last issued its quarterly earnings results on Tuesday, July 22nd. The bank reported $1.10 EPS for the quarter, hitting analysts' consensus estimates of $1.10. The company had revenue of $196.61 million for the quarter, compared to analyst estimates of $197.04 million. Cathay General Bancorp had a net margin of 21.44% and a return on equity of 10.39%. Cathay General Bancorp's revenue was up 10.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.97 earnings per share. As a group, equities analysts expect that Cathay General Bancorp will post 4.47 EPS for the current year.

Cathay General Bancorp declared that its Board of Directors has authorized a share repurchase program on Wednesday, June 4th that permits the company to buyback $150.00 million in shares. This buyback authorization permits the bank to buy up to 5% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's leadership believes its shares are undervalued.

Insiders Place Their Bets

In related news, EVP Thomas M. Lo sold 729 shares of Cathay General Bancorp stock in a transaction on Monday, May 12th. The shares were sold at an average price of $45.00, for a total transaction of $32,805.00. Following the completion of the transaction, the executive vice president owned 4,000 shares of the company's stock, valued at $180,000. This trade represents a 15.42% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. 4.76% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Cathay General Bancorp

Hedge funds have recently bought and sold shares of the company. Captrust Financial Advisors increased its stake in Cathay General Bancorp by 1.0% in the fourth quarter. Captrust Financial Advisors now owns 23,486 shares of the bank's stock valued at $1,118,000 after purchasing an additional 222 shares in the last quarter. Atria Investments Inc increased its stake in Cathay General Bancorp by 4.9% in the second quarter. Atria Investments Inc now owns 4,965 shares of the bank's stock valued at $226,000 after purchasing an additional 231 shares in the last quarter. Cetera Investment Advisers increased its stake in Cathay General Bancorp by 0.8% in the fourth quarter. Cetera Investment Advisers now owns 31,770 shares of the bank's stock valued at $1,513,000 after purchasing an additional 255 shares in the last quarter. SummerHaven Investment Management LLC increased its stake in Cathay General Bancorp by 1.5% in the first quarter. SummerHaven Investment Management LLC now owns 20,747 shares of the bank's stock valued at $893,000 after purchasing an additional 303 shares in the last quarter. Finally, Nomura Asset Management Co. Ltd. increased its stake in Cathay General Bancorp by 63.5% in the fourth quarter. Nomura Asset Management Co. Ltd. now owns 850 shares of the bank's stock valued at $40,000 after purchasing an additional 330 shares in the last quarter. Institutional investors own 75.01% of the company's stock.

Cathay General Bancorp Company Profile

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.