CATHAY GENERAL BANCORP (CATY)
US1491501045 - Common Stock
We assign a fundamental rating of 4 out of 10 to CATY. CATY was compared to 411 industry peers in the Banks industry. CATY has only an average score on both its financial health and profitability. CATY has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year CATY was profitable.
In the past year CATY had a positive cash flow from operations.
Each year in the past 5 years CATY has been profitable.
In the past 5 years CATY always reported a positive cash flow from operatings.
1.2 Ratios
CATY has a Return On Assets of 1.53%. This is amongst the best in the industry. CATY outperforms 89.54% of its industry peers.
With an excellent Return On Equity value of 12.94%, CATY belongs to the best of the industry, outperforming 82.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.53% | ||
| ROE | 12.94% | ||
| ROIC | N/A |
ROA(3y)1.54%
ROA(5y)1.47%
ROE(3y)13.24%
ROE(5y)12.27%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 43.73%, CATY belongs to the top of the industry, outperforming 97.32% of the companies in the same industry.
In the last couple of years the Profit Margin of CATY has remained more or less at the same level.
CATY does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 43.73% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y4.35%
PM growth 5Y-0.76%
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.
CATY has less shares outstanding than it did 1 year ago.
CATY has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, CATY has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of CATY is 0.35, which is an excellent value as it means it would take CATY, only 0.35 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.35, CATY belongs to the top of the industry, outperforming 84.67% 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 82.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 0.35 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC20.19%
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 -0.61% in the last year.
CATY shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.85% yearly.
CATY shows a small growth in Revenue. In the last year, the Revenue has grown by 2.45%.
Measured over the past years, CATY shows a small growth in Revenue. The Revenue has been growing by 6.23% on average per year.
EPS 1Y (TTM)-0.61%
EPS 3Y19.19%
EPS 5Y7.85%
EPS growth Q2Q-15.04%
Revenue 1Y (TTM)2.45%
Revenue growth 3Y10.84%
Revenue growth 5Y6.23%
Revenue growth Q2Q-4.05%
3.2 Future
CATY is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -4.49% yearly.
The Revenue is expected to grow by 0.13% on average over the next years.
EPS Next Y-15.56%
EPS Next 2Y-4.49%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-5.12%
Revenue Next 2Y0.13%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.11, the valuation of CATY can be described as very cheap.
CATY's Price/Earnings ratio is rather cheap when compared to the industry. CATY is cheaper than 80.05% of the companies in the same industry.
CATY's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.95.
Based on the Price/Forward Earnings ratio of 8.42, the valuation of CATY can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CATY indicates a somewhat cheap valuation: CATY is cheaper than 71.78% of the companies listed in the same industry.
CATY is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.40, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.11 | ||
| Fwd PE | 8.42 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, CATY is valued a bit cheaper than 68.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.59 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
CATY's earnings are expected to decrease with -4.49% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.91
EPS Next 2Y-4.49%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CATY has a Yearly Dividend Yield of 3.78%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.93, CATY has a dividend in line with its industry peers.
CATY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
5.2 History
The dividend of CATY has a limited annual growth rate of 5.64%.
CATY has been paying a dividend for at least 10 years, so it has a reliable track record.
CATY has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.64%
Div Incr Years0
Div Non Decr Years13
5.3 Sustainability
CATY pays out 27.85% of its income as dividend. This is a sustainable payout ratio.
DP27.85%
EPS Next 2Y-4.49%
EPS Next 3YN/A
CATHAY GENERAL BANCORP
NASDAQ:CATY (4/23/2024, 1:18:54 PM)
34.56
-2.06 (-5.63%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.51B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.78% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.11 | ||
| Fwd PE | 8.42 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.53% | ||
| ROE | 12.94% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 43.73% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-0.61%
EPS 3Y19.19%
EPS 5Y
EPS growth Q2Q
EPS Next Y-15.56%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.45%
Revenue growth 3Y10.84%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y