Cathay General Bancorp $CATY Shares Sold by Dean Capital Management

Key Points

• Dean Capital Management reduced its Cathay General Bancorp stake by 41.9% in the fourth quarter, selling 28,623 shares and leaving it with 39,721 shares valued at about $1.92 million.
• Other ownership changes were mixed: several hedge funds bought small positions, while insiders also sold shares, including SVP May K. Chan and Vice Chairman Peter Wu. Insiders sold 25,394 shares total in the last 90 days.
• Cathay General Bancorp recently posted better-than-expected earnings with $1.29 EPS and $213.2 million in revenue, and it also announced a quarterly dividend of $0.38 per share. The stock was trading near its 52-week high at $59.09, while analysts currently rate it a Hold on average.

Dean Capital Management trimmed its position in shares of Cathay General Bancorp (NASDAQ:CATY - Free Report) by 41.9% during the fourth quarter, according to its most recent Form 13F filing with the SEC. The firm owned 39,721 shares of the bank's stock after selling 28,623 shares during the period. Dean Capital Management owned about 0.06% of Cathay General Bancorp worth $1,922,000 at the end of the most recent reporting period.

Several other hedge funds have also recently added to or reduced their stakes in CATY. Danske Bank A S purchased a new stake in shares of Cathay General Bancorp in the 3rd quarter valued at approximately $48,000. Hantz Financial Services Inc. grew its stake in shares of Cathay General Bancorp by 55.8% during the fourth quarter. Hantz Financial Services Inc. now owns 1,525 shares of the bank's stock worth $74,000 after purchasing an additional 546 shares in the last quarter. Torren Management LLC acquired a new position in shares of Cathay General Bancorp during the fourth quarter worth $76,000. Exchange Traded Concepts LLC purchased a new position in Cathay General Bancorp in the fourth quarter valued at $80,000. Finally, NewEdge Advisors LLC increased its holdings in Cathay General Bancorp by 319.7% in the second quarter. NewEdge Advisors LLC now owns 1,704 shares of the bank's stock valued at $78,000 after buying an additional 1,298 shares during the last quarter. Institutional investors and hedge funds own 75.01% of the company's stock.

Insider Activity

In related news, SVP May K. Chan sold 558 shares of the company's stock in a transaction on Tuesday, April 28th. The shares were sold at an average price of $56.00, for a total value of $31,248.00. Following the completion of the sale, the senior vice president owned 2,693 shares in the company, valued at $150,808. This represents a 17.16% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Vice Chairman Peter Wu sold 20,000 shares of the stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $57.33, for a total transaction of $1,146,600.00. Following the sale, the insider owned 275,252 shares of the company's stock, valued at approximately $15,780,197.16. This represents a 6.77% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 25,394 shares of company stock valued at $1,421,341 in the last ninety days. 4.53% of the stock is currently owned by company insiders.

Analyst Ratings Changes

CATY has been the subject of a number of recent analyst reports. Keefe, Bruyette & Woods lifted their price target on Cathay General Bancorp from $55.00 to $58.00 and gave the stock a "market perform" rating in a report on Thursday, April 23rd. Piper Sandler increased their price objective on Cathay General Bancorp from $45.00 to $47.00 and gave the company an "underweight" rating in a report on Monday, April 27th. One research analyst has rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and an average price target of $51.75.

Cathay General Bancorp Stock Up 0.1%

Shares of NASDAQ CATY opened at $59.09 on Friday. The business has a 50-day moving average price of $56.55 and a 200 day moving average price of $52.56. The stock has a market cap of $3.96 billion, a PE ratio of 12.18 and a beta of 0.86. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 0.04. Cathay General Bancorp has a 52-week low of $42.92 and a 52-week high of $61.55.

Cathay General Bancorp (NASDAQ:CATY - Get Free Report) last released its quarterly earnings results on Wednesday, April 22nd. The bank reported $1.29 EPS for the quarter, topping the consensus estimate of $1.19 by $0.10. Cathay General Bancorp had a return on equity of 11.37% and a net margin of 23.79%.The company had revenue of $213.20 million for the quarter, compared to analyst estimates of $211.26 million. During the same quarter in the previous year, the company posted $0.98 earnings per share. The firm's revenue was up 14.4% compared to the same quarter last year. Equities research analysts forecast that Cathay General Bancorp will post 5.4 earnings per share for the current year.

Cathay General Bancorp announced that its Board of Directors has authorized a stock repurchase program on Thursday, April 23rd that allows the company to buyback $150,000.00 billion in shares. This buyback authorization allows the bank to buy up to 4,164,630.6% of its stock through open market purchases. Stock buyback programs are usually a sign that the company's board believes its shares are undervalued.

Cathay General Bancorp Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 9th. Stockholders of record on Thursday, May 28th were issued a $0.38 dividend. This represents a $1.52 dividend on an annualized basis and a dividend yield of 2.6%. The ex-dividend date of this dividend was Thursday, May 28th. Cathay General Bancorp's payout ratio is presently 31.34%.

Cathay General Bancorp Company Profile

Cathay General Bancorp is a bank holding company headquartered in Los Angeles, California, trading on NASDAQ under the symbol CATY. Its principal subsidiary, Cathay Bank, provides a full suite of financial services to commercial, institutional and retail clients. As a community-focused institution, the company emphasizes relationship banking and tailored solutions for businesses and individuals.

Founded in 1962 by a group of Chinese American entrepreneurs, Cathay has expanded from a single branch operation in downtown Los Angeles into one of the largest Asian-American banks in the United States.

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