Northern Trust Corp Sells 32,920 Shares of Cathay General Bancorp $CATY

Key Points

• Northern Trust Corp reduced its holdings in Cathay General Bancorp by 3.4%, owning 924,853 shares valued at approximately $39.8 million.
• Cathay General Bancorp reported a quarterly earnings per share (EPS) of $1.10, meeting analysts' expectations, while also achieving a 10.1% year-over-year revenue growth.
• The company has announced a $150 million stock repurchase program and a quarterly dividend of $0.34 per share, indicating a commitment to returning value to shareholders.

Northern Trust Corp lessened its stake in shares of Cathay General Bancorp (NASDAQ:CATY - Free Report) by 3.4% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 924,853 shares of the bank's stock after selling 32,920 shares during the period. Northern Trust Corp owned 1.32% of Cathay General Bancorp worth $39,796,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Meeder Asset Management Inc. acquired a new position in Cathay General Bancorp during the first quarter valued at approximately $46,000. Caitong International Asset Management Co. Ltd grew its holdings in Cathay General Bancorp by 174.8% during the first quarter. Caitong International Asset Management Co. Ltd now owns 1,201 shares of the bank's stock valued at $52,000 after purchasing an additional 764 shares during the last quarter. Mackenzie Financial Corp acquired a new stake in shares of Cathay General Bancorp in the fourth quarter worth $212,000. Vestcor Inc bought a new position in Cathay General Bancorp during the first quarter worth $214,000. Finally, Y Intercept Hong Kong Ltd bought a new position in Cathay General Bancorp during the first quarter worth $220,000. Institutional investors and hedge funds own 75.01% of the company's stock.

Cathay General Bancorp Price Performance

Shares of NASDAQ:CATY traded up $0.14 on Wednesday, hitting $49.83. The stock had a trading volume of 269,913 shares, compared to its average volume of 332,169. Cathay General Bancorp has a twelve month low of $36.06 and a twelve month high of $55.29. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.05 and a current ratio of 1.05. The firm's 50 day moving average price is $47.59 and its 200-day moving average price is $44.57. The company has a market capitalization of $3.44 billion, a price-to-earnings ratio of 12.04 and a beta of 1.00.

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

Cathay General Bancorp announced that its Board of Directors has approved a stock buyback plan on Wednesday, June 4th that permits the company to repurchase $150.00 million in outstanding shares. This repurchase authorization permits the bank to buy up to 5% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company's board believes its shares are undervalued.

Cathay General Bancorp Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, September 8th. Stockholders of record on Thursday, August 28th will be paid a $0.34 dividend. This represents a $1.36 annualized dividend and a dividend yield of 2.7%. The ex-dividend date is Thursday, August 28th. Cathay General Bancorp's payout ratio is currently 32.85%.

Analyst Ratings Changes

A number of equities analysts recently issued reports on the stock. Keefe, Bruyette & Woods boosted their target price on shares of Cathay General Bancorp from $51.00 to $52.00 and gave the stock a "market perform" rating in a research report on Wednesday, July 23rd. Stephens lowered shares of Cathay General Bancorp from an "overweight" rating to an "equal weight" rating and set a $50.00 target price on the stock. in a research report on Monday, August 4th. Wall Street Zen raised shares of Cathay General Bancorp from a "sell" rating to a "hold" rating in a research report on Saturday. DA Davidson boosted their target price on shares of Cathay General Bancorp from $45.00 to $51.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 23rd. Finally, Jefferies Financial Group set a $53.00 target price on shares of Cathay General Bancorp and gave the stock a "buy" rating in a research report on Wednesday, May 21st. Two investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $49.71.

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.