Cathay General Bancorp (NASDAQ:CATY) Given New $51.00 Price Target at DA Davidson

Cathay General Bancorp (NASDAQ:CATY) had its price target lifted by analysts at DA Davidson from $45.00 to $51.00 in a research note issued to investors on Wednesday, July 23rd, Marketbeat reports. The firm currently has a “neutral” rating on the bank’s stock. DA Davidson’s target price would indicate a potential upside of 11.18% from the stock’s previous close. DA Davidson also issued estimates for Cathay General Bancorp’s Q3 2025 earnings at $1.20 EPS, FY2025 earnings at $4.57 EPS and FY2026 earnings at $5.07 EPS.

CATY has been the topic of a number of other reports. Stephens reaffirmed an “overweight” rating and set a $51.00 target price on shares of Cathay General Bancorp in a research report on Tuesday, April 22nd. Jefferies Financial Group set a $53.00 target price on shares of Cathay General Bancorp and gave the stock a “buy” rating in a research report on Wednesday, May 21st. One analyst has rated the stock with a sell rating, three have assigned a hold rating and three have issued a buy rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $49.86.

Cathay General Bancorp Stock Performance

Cathay General Bancorp stock opened at $45.87 on Wednesday. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.05 and a quick ratio of 1.05. Cathay General Bancorp has a 1-year low of $36.06 and a 1-year high of $55.29. The firm has a market capitalization of $3.22 billion, a P/E ratio of 11.08 and a beta of 0.93. The company’s 50-day moving average is $45.51 and its 200 day moving average is $44.49.

Cathay General Bancorp (NASDAQ:CATY) last posted its quarterly earnings data on Tuesday, July 22nd. The bank reported $1.10 earnings per share for the quarter, hitting analysts’ consensus estimates of $1.10. Cathay General Bancorp had a net margin of 21.44% and a return on equity of 10.39%. The company had revenue of $196.61 million for the quarter, compared to analyst estimates of $197.04 million. During the same period in the prior year, the company posted $0.97 EPS. The firm’s revenue for the quarter was up 10.1% on a year-over-year basis. Research analysts forecast that Cathay General Bancorp will post 4.47 EPS for the current year.

Cathay General Bancorp declared that its board has initiated a share buyback plan on Wednesday, June 4th that allows the company to buyback $150.00 million in outstanding shares. This buyback authorization allows the bank to purchase up to 5% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s board believes its shares are undervalued.

Insider Activity

In other Cathay General Bancorp news, EVP Thomas M. Lo sold 729 shares of the firm’s stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $45.00, for a total value of $32,805.00. Following the completion of the sale, the executive vice president directly owned 4,000 shares in the company, valued at $180,000. This trade represents a 15.42% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Corporate insiders own 4.85% of the company’s stock.

Institutional Investors Weigh In On Cathay General Bancorp

Several institutional investors have recently bought and sold shares of CATY. Nomura Asset Management Co. Ltd. boosted its stake in Cathay General Bancorp by 63.5% in the fourth quarter. Nomura Asset Management Co. Ltd. now owns 850 shares of the bank’s stock valued at $40,000 after acquiring an additional 330 shares in the last quarter. Meeder Asset Management Inc. purchased a new position in shares of Cathay General Bancorp in the first quarter worth $46,000. Caitong International Asset Management Co. Ltd raised its holdings in shares of Cathay General Bancorp by 174.8% in the first quarter. Caitong International Asset Management Co. Ltd now owns 1,201 shares of the bank’s stock worth $52,000 after buying an additional 764 shares during the last quarter. Physician Wealth Advisors Inc. purchased a new position in shares of Cathay General Bancorp in the fourth quarter worth $55,000. Finally, Smartleaf Asset Management LLC raised its holdings in shares of Cathay General Bancorp by 36.8% in the first quarter. Smartleaf Asset Management LLC now owns 2,454 shares of the bank’s stock worth $105,000 after buying an additional 660 shares during the last quarter. 75.01% of the stock is currently owned by institutional investors and hedge funds.

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.