CATHAY GENERAL BANCORP (CATY) Stock Fundamental Analysis
USA - NASDAQ:CATY - US1491501045 - Common Stock
48.94 USD
-0.3 (-0.61%)
48.94 USD
0 (0%)
CATY gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 392 industry peers in the Banks industry. CATY has only an average score on both its financial health and profitability. CATY has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
CATY had positive earnings in the past year.
In the past year CATY had a positive cash flow from operations.
CATY had positive earnings in each of the past 5 years.
Each year in the past 5 years CATY had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.24%, CATY belongs to the top of the industry, outperforming 81.38% of the companies in the same industry.
The Return On Equity of CATY (10.21%) is better than 68.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.24% | ||
| ROE | 10.21% | ||
| ROIC | N/A |
ROA(3y)1.47%
ROA(5y)1.41%
ROE(3y)12.52%
ROE(5y)11.85%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CATY has a Profit Margin of 38.75%. This is amongst the best in the industry. CATY outperforms 94.90% of its industry peers.
CATY's Profit Margin has declined in the last couple of years.
The Operating Margin and Gross Margin are not available for CATY so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 38.75% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-5.01%
PM growth 5Y-2.72%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
CATY does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, CATY has less shares outstanding
The number of shares outstanding for CATY has been reduced compared to 5 years ago.
CATY has a worse debt/assets ratio than last year.
2.2 Solvency
CATY has a debt to FCF ratio of 0.42. This is a very positive value and a sign of high solvency as it would only need 0.42 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.42, CATY belongs to the top of the industry, outperforming 83.42% of the companies in the same industry.
A Debt/Equity ratio of 0.05 indicates that CATY is not too dependend on debt financing.
The Debt to Equity ratio of CATY (0.05) is better than 81.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 0.42 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC23.14%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The earnings per share for CATY have decreased by -0.48% in the last year.
The Earnings Per Share has been growing slightly by 2.62% on average over the past years.
Looking at the last year, CATY shows a small growth in Revenue. The Revenue has grown by 1.08% in the last year.
The Revenue has been growing slightly by 3.30% on average over the past years.
EPS 1Y (TTM)-0.48%
EPS 3Y1.3%
EPS 5Y2.62%
EPS Q2Q%19.57%
Revenue 1Y (TTM)1.08%
Revenue growth 3Y3.8%
Revenue growth 5Y3.3%
Sales Q2Q%10.13%
3.2 Future
CATY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.31% yearly.
Based on estimates for the next years, CATY will show a small growth in Revenue. The Revenue will grow by 7.18% on average per year.
EPS Next Y14.04%
EPS Next 2Y13.17%
EPS Next 3Y12.31%
EPS Next 5YN/A
Revenue Next Year8.75%
Revenue Next 2Y7.76%
Revenue Next 3Y7.18%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.82, the valuation of CATY can be described as very reasonable.
CATY's Price/Earnings ratio is a bit cheaper when compared to the industry. CATY is cheaper than 60.97% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.41, CATY is valued rather cheaply.
CATY is valuated reasonably with a Price/Forward Earnings ratio of 9.65.
61.48% of the companies in the same industry are more expensive than CATY, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of CATY to the average of the S&P500 Index (22.87), we can say CATY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.82 | ||
| Fwd PE | 9.65 |
4.2 Price Multiples
65.82% of the companies in the same industry are more expensive than CATY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.41 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
CATY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CATY's earnings are expected to grow with 12.31% in the coming years.
PEG (NY)0.84
PEG (5Y)4.52
EPS Next 2Y13.17%
EPS Next 3Y12.31%
5. Dividend
5.1 Amount
CATY has a Yearly Dividend Yield of 2.70%. Purely for dividend investing, there may be better candidates out there.
CATY's Dividend Yield is comparable with the industry average which is at 3.47.
Compared to an average S&P500 Dividend Yield of 2.38, CATY has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
5.2 History
The dividend of CATY has a limited annual growth rate of 2.09%.
CATY has paid a dividend for at least 10 years, which is a reliable track record.
CATY has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.09%
Div Incr Years0
Div Non Decr Years14
5.3 Sustainability
CATY pays out 32.64% of its income as dividend. This is a sustainable payout ratio.
The dividend of CATY is growing, but earnings are growing more, so the dividend growth is sustainable.
DP32.64%
EPS Next 2Y13.17%
EPS Next 3Y12.31%
48.94
-0.3 (-0.61%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners76.47%
Inst Owner Change-0.54%
Ins Owners1.47%
Ins Owner Change7.67%
Market Cap3.38B
Analysts78.18
Price Target52.63 (7.54%)
Short Float %2.68%
Short Ratio4.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
Yearly Dividend1.37
Dividend Growth(5Y)2.09%
DP32.64%
Div Incr Years0
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.41%
Min EPS beat(2)-1.69%
Max EPS beat(2)0.87%
EPS beat(4)1
Avg EPS beat(4)-1%
Min EPS beat(4)-2.99%
Max EPS beat(4)0.87%
EPS beat(8)3
Avg EPS beat(8)-0.55%
EPS beat(12)6
Avg EPS beat(12)0.63%
EPS beat(16)9
Avg EPS beat(16)1.44%
Revenue beat(2)0
Avg Revenue beat(2)-1.52%
Min Revenue beat(2)-1.96%
Max Revenue beat(2)-1.08%
Revenue beat(4)1
Avg Revenue beat(4)-0.53%
Min Revenue beat(4)-1.96%
Max Revenue beat(4)2.07%
Revenue beat(8)2
Avg Revenue beat(8)-1.85%
Revenue beat(12)3
Avg Revenue beat(12)-1.54%
Revenue beat(16)6
Avg Revenue beat(16)-0.75%
PT rev (1m)0%
PT rev (3m)7.05%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.16%
EPS NY rev (1m)0%
EPS NY rev (3m)0.84%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.24%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.82 | ||
| Fwd PE | 9.65 | ||
| P/S | 4.45 | ||
| P/FCF | 10.41 | ||
| P/OCF | 10.22 | ||
| P/B | 1.17 | ||
| P/tB | 1.35 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.14
EY8.46%
EPS(NY)5.07
Fwd EY10.36%
FCF(TTM)4.7
FCFY9.61%
OCF(TTM)4.79
OCFY9.79%
SpS11.01
BVpS41.78
TBVpS36.3
PEG (NY)0.84
PEG (5Y)4.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.24% | ||
| ROE | 10.21% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 38.75% | ||
| GM | N/A | ||
| FCFM | 42.72% |
ROA(3y)1.47%
ROA(5y)1.41%
ROE(3y)12.52%
ROE(5y)11.85%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-5.01%
PM growth 5Y-2.72%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 0.42 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 37.43% | ||
| Cap/Sales | 0.81% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 110.24% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC23.14%
ROIC/WACCN/A
Cap/Depr(3y)24.8%
Cap/Depr(5y)39.19%
Cap/Sales(3y)0.45%
Cap/Sales(5y)0.58%
Profit Quality(3y)116.73%
Profit Quality(5y)119.66%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.48%
EPS 3Y1.3%
EPS 5Y2.62%
EPS Q2Q%19.57%
EPS Next Y14.04%
EPS Next 2Y13.17%
EPS Next 3Y12.31%
EPS Next 5YN/A
Revenue 1Y (TTM)1.08%
Revenue growth 3Y3.8%
Revenue growth 5Y3.3%
Sales Q2Q%10.13%
Revenue Next Year8.75%
Revenue Next 2Y7.76%
Revenue Next 3Y7.18%
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-34.98%
FCF growth 3Y-0.51%
FCF growth 5Y-5.32%
OCF growth 1Y-34.04%
OCF growth 3Y-0.52%
OCF growth 5Y-5.42%