Cathay General Bancorp (NASDAQ:CATY) Releases Quarterly Earnings Results, Beats Estimates By $0.08 EPS

Cathay General Bancorp (NASDAQ:CATY) announced its quarterly earnings data on Wednesday. The bank reported $1.29 earnings per share for the quarter, topping analysts’ consensus estimates of $1.21 by $0.08, Zacks reports. Cathay General Bancorp had a net margin of 22.76% and a return on equity of 10.89%. During the same period in the previous year, the firm earned $0.98 EPS. The company’s quarterly revenue was up 14.4% compared to the same quarter last year.

Cathay General Bancorp Stock Up 0.4%

Cathay General Bancorp stock traded up $0.22 during trading hours on Wednesday, hitting $53.78. The stock had a trading volume of 327,024 shares, compared to its average volume of 456,016. The stock’s 50-day moving average price is $50.87 and its 200-day moving average price is $49.69. The stock has a market capitalization of $3.60 billion, a P/E ratio of 11.85 and a beta of 0.82. Cathay General Bancorp has a 12-month low of $40.96 and a 12-month high of $55.09. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 0.05.

Cathay General Bancorp Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, March 9th. Shareholders of record on Thursday, February 26th were paid a dividend of $0.38 per share. The ex-dividend date was Thursday, February 26th. This represents a $1.52 dividend on an annualized basis and a yield of 2.8%. This is an increase from Cathay General Bancorp’s previous quarterly dividend of $0.34. Cathay General Bancorp’s dividend payout ratio (DPR) is 33.48%.

Insider Activity at Cathay General Bancorp

In related news, EVP Thomas M. Lo sold 1,000 shares of the company’s stock in a transaction that occurred on Thursday, January 29th. The stock was sold at an average price of $50.23, for a total value of $50,230.00. Following the transaction, the executive vice president directly owned 2,000 shares of the company’s stock, valued at approximately $100,460. This represents a 33.33% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Chang Liu sold 4,836 shares of the stock in a transaction on Monday, April 6th. The shares were sold at an average price of $50.35, for a total value of $243,492.60. Following the sale, the chief executive officer owned 127,819 shares in the company, valued at approximately $6,435,686.65. This represents a 3.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 4.76% of the stock is owned by company insiders.

Hedge Funds Weigh In On Cathay General Bancorp

A number of hedge funds have recently bought and sold shares of the business. Danske Bank A S purchased a new stake in shares of Cathay General Bancorp during the 3rd quarter valued at about $48,000. NewEdge Advisors LLC lifted its position in Cathay General Bancorp by 319.7% during the second 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 during the period. Strs Ohio purchased a new stake in Cathay General Bancorp in the first quarter worth approximately $112,000. HighTower Advisors LLC bought a new stake in Cathay General Bancorp in the 4th quarter worth approximately $206,000. Finally, Cibc World Markets Corp bought a new stake in Cathay General Bancorp in the 4th quarter worth approximately $213,000. Hedge funds and other institutional investors own 75.01% of the company’s stock.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings restated a “buy (b-)” rating on shares of Cathay General Bancorp in a research note on Monday, December 29th. Two research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $52.50.

About Cathay General Bancorp

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.