Cathay General Bancorp (NASDAQ:CATY) Stock Price Breaks Above 200 Day Moving Average - Here's What Happened

Key Points

• Cathay General Bancorp shares broke above their 200-day moving average, reaching $61.36 before closing at $60.84. The stock is up 1.3%, with a market capitalization of approximately $4.06 billion.
• Recent quarterly results exceeded expectations: Cathay reported $1.37 in earnings per share versus the $1.35 consensus estimate, while revenue rose 13.1% year over year to $221.2 million.
• Analysts maintain a consensus “Hold” rating with a $62.25 target price. The company also pays a quarterly dividend of $0.38 per share, representing a 2.5% annualized yield.

Cathay General Bancorp (NASDAQ:CATY - Get Free Report)'s stock price crossed above its 200-day moving average during trading on Friday. The stock has a 200-day moving average of $58.67 and traded as high as $61.36. Cathay General Bancorp shares last traded at $60.84, with a volume of 463,284 shares traded.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on CATY shares. Stephens upped their price target on shares of Cathay General Bancorp from $56.00 to $63.00 and gave the stock an "equal weight" rating in a report on Thursday, July 23rd. Zacks Research lowered shares of Cathay General Bancorp from a "strong-buy" rating to a "hold" rating in a report on Wednesday, August 12th. Piper Sandler boosted their price objective on shares of Cathay General Bancorp from $49.50 to $53.00 and gave the company an "underweight" rating in a research report on Monday, July 27th. DA Davidson upped their target price on shares of Cathay General Bancorp from $56.00 to $66.00 and gave the stock a "neutral" rating in a research note on Thursday, July 23rd. Finally, Weiss Ratings reaffirmed a "buy (b)" rating on shares of Cathay General Bancorp in a research report on Monday, July 6th. One equities research analyst has rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Hold" and a consensus target price of $62.25.

Cathay General Bancorp Stock Up 1.3%

The company has a current ratio of 1.04, a quick ratio of 1.04 and a debt-to-equity ratio of 0.04. The business has a 50-day moving average price of $62.38 and a 200-day moving average price of $58.67. The firm has a market cap of $4.06 billion, a P/E ratio of 11.88 and a beta of 0.89.

Cathay General Bancorp (NASDAQ:CATY - Get Free Report) last announced its quarterly earnings results on Wednesday, July 22nd. The bank reported $1.37 EPS for the quarter, beating the consensus estimate of $1.35 by $0.02. The firm had revenue of $221.20 million for the quarter, compared to analyst estimates of $218.28 million. Cathay General Bancorp had a return on equity of 11.71% and a net margin of 24.66%.The business's revenue for the quarter was up 13.1% on a year-over-year basis. During the same quarter last year, the firm posted $1.10 earnings per share. On average, equities analysts forecast that Cathay General Bancorp will post 5.54 EPS for the current fiscal year.

Cathay General Bancorp Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 8th. Shareholders of record on Friday, August 28th were given a dividend of $0.38 per share. The ex-dividend date of this dividend was Friday, August 28th. This represents a $1.52 dividend on an annualized basis and a yield of 2.5%. Cathay General Bancorp's dividend payout ratio (DPR) is 29.69%.

Insider Activity

In other news, Director Richard Sun sold 1,000 shares of the business's stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $62.31, for a total value of $62,310.00. Following the completion of the sale, the director owned 2,200 shares in the company, valued at approximately $137,082. The trade was a 31.25% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Thomas M. Lo sold 1,600 shares of the company's stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $62.47, for a total transaction of $99,952.00. Following the completion of the sale, the executive vice president directly owned 2,362 shares of the company's stock, valued at $147,554.14. The trade was a 40.38% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 31,600 shares of company stock valued at $1,996,362. Company insiders own 4.53% of the company's stock.

Hedge Funds Weigh In On Cathay General Bancorp

A number of large investors have recently bought and sold shares of the business. Integrated Wealth Concepts LLC bought a new position in shares of Cathay General Bancorp in the 2nd quarter worth $30,000. Global Retirement Partners LLC bought a new stake in Cathay General Bancorp during the second quarter valued at about $31,000. Nykredit A S bought a new stake in Cathay General Bancorp during the second quarter valued at about $47,000. Allworth Financial LP purchased a new position in Cathay General Bancorp in the second quarter valued at about $53,000. Finally, Public Employees Retirement System of Ohio purchased a new position in Cathay General Bancorp in the second quarter valued at about $76,000. Institutional investors own 75.01% of the company's stock.

About Cathay General Bancorp

Cathay General Bancorp is a bank holding company headquartered in Los Angeles, California. Its principal subsidiary, Cathay Bank, provides banking and financial services to individuals, businesses and institutions through branch offices, digital banking channels and other delivery platforms.

Cathay Bank offers deposit products, commercial and consumer lending, residential and commercial real estate financing, small business loans, trade finance and cash management services. The bank also provides online and mobile banking, wealth management and other financial services designed to support personal and business banking needs.

Founded in 1962, Cathay Bank has historically served communities in the United States with strong ties to the Chinese-American and broader Asian-American markets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.