Research Analysts Issue Forecasts for CATY FY2025 Earnings

Key Points

• DA Davidson has revised its FY2025 earnings estimate for Cathay General Bancorp, now forecasting earnings of $4.56 per share, slightly down from a previous estimate of $4.57.
• Recent earnings results showed the bank reported $1.10 earnings per share, matching the consensus estimate, with revenues increasing by 10.1% year-over-year.
• Cathay General Bancorp announced a quarterly dividend of $0.34 per share, reflecting an annualized yield of 2.8%, and has initiated a $150 million share buyback program.

Cathay General Bancorp (NASDAQ:CATY - Free Report) - Investment analysts at DA Davidson lowered their FY2025 earnings estimates for shares of Cathay General Bancorp in a research note issued on Monday, September 29th. DA Davidson analyst G. Tenner now forecasts that the bank will earn $4.56 per share for the year, down from their previous estimate of $4.57. DA Davidson currently has a "Neutral" rating and a $51.00 target price on the stock. The consensus estimate for Cathay General Bancorp's current full-year earnings is $4.47 per share.

Cathay General Bancorp (NASDAQ:CATY - Get Free Report) last announced its quarterly earnings results on Tuesday, July 22nd. The bank reported $1.10 earnings per share for the quarter, hitting 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 firm had revenue of $196.61 million during the quarter, compared to analysts' expectations of $197.04 million. During the same quarter in the prior year, the company earned $0.97 EPS. The company's revenue was up 10.1% compared to the same quarter last year.

Several other brokerages have also recently weighed in on CATY. Wall Street Zen cut shares of Cathay General Bancorp from a "hold" rating to a "sell" rating in a research report on Friday, September 26th. Keefe, Bruyette & Woods boosted their price objective on shares of Cathay General Bancorp from $51.00 to $52.00 and gave the stock a "market perform" rating in a research note on Wednesday, July 23rd. Finally, Stephens lowered shares of Cathay General Bancorp from an "overweight" rating to an "equal weight" rating and set a $50.00 price objective for the company. in a research note on Monday, August 4th. Two equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Cathay General Bancorp presently has an average rating of "Hold" and an average price target of $50.17.

Cathay General Bancorp Price Performance

Shares of CATY opened at $48.01 on Wednesday. The company has a 50 day moving average price of $48.11 and a 200-day moving average price of $45.06. Cathay General Bancorp has a fifty-two week low of $36.06 and a fifty-two week high of $55.29. The stock has a market capitalization of $3.32 billion, a PE ratio of 11.60 and a beta of 1.00. 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 Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, September 8th. Shareholders of record on Thursday, August 28th were paid a dividend of $0.34 per share. The ex-dividend date was Thursday, August 28th. This represents a $1.36 dividend on an annualized basis and a yield of 2.8%. Cathay General Bancorp's dividend payout ratio is presently 32.85%.

Cathay General Bancorp announced that its board has authorized a share buyback program on Wednesday, June 4th that allows the company to repurchase $150.00 million in outstanding shares. This repurchase authorization allows the bank to reacquire up to 5% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company's board of directors believes its shares are undervalued.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. Hantz Financial Services Inc. increased its stake in Cathay General Bancorp by 5,438.5% during the 2nd quarter. Hantz Financial Services Inc. now owns 720 shares of the bank's stock valued at $33,000 after purchasing an additional 707 shares in the last quarter. Meeder Asset Management Inc. acquired a new position in Cathay General Bancorp during the 1st quarter valued at approximately $46,000. Caitong International Asset Management Co. Ltd increased its stake in Cathay General Bancorp by 174.8% during the 1st 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 in the last quarter. NewEdge Advisors LLC increased its stake in Cathay General Bancorp by 319.7% during the 2nd quarter. NewEdge Advisors LLC now owns 1,704 shares of the bank's stock valued at $78,000 after purchasing an additional 1,298 shares in the last quarter. Finally, Smartleaf Asset Management LLC increased its stake in Cathay General Bancorp by 36.8% during the 1st quarter. Smartleaf Asset Management LLC now owns 2,454 shares of the bank's stock valued at $105,000 after purchasing an additional 660 shares in the last quarter. Institutional investors and hedge funds own 75.01% of the company's stock.

About Cathay General Bancorp

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.

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