In the preceding three months, 4 analysts have released ratings for Cathay General (NASDAQ:CATY), presenting a wide array of perspectives from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 1 | 3 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 1 | 2 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
Analysts have recently evaluated Cathay General and provided 12-month price targets. The average target is $40.75, accompanied by a high estimate of $44.00 and a low estimate of $38.00. This current average has decreased by 7.39% from the previous average price target of $44.00.
Exploring Analyst Ratings: An In-Depth Overview
A comprehensive examination of how financial experts perceive Cathay General is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Brandon King | Truist Securities | Lowers | Hold | $38.00 | $40.00 |
| Christopher Mcgratty | Keefe, Bruyette & Woods | Lowers | Market Perform | $41.00 | $46.00 |
| David Chiaverini | Wedbush | Maintains | Outperform | $44.00 | - |
| Brandon King | Truist Securities | Lowers | Hold | $40.00 | $46.00 |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Cathay General. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Cathay General compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Cathay General's stock. This comparison reveals trends in analysts' expectations over time.
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Cathay General's market standing. Stay informed and make well-considered decisions with our Ratings Table.
Stay up to date on Cathay General analyst ratings.
Discovering Cathay General: A Closer Look
Cathay General Bancorp is a regional bank predominantly serving the Chinese-American community. The company's policy is to reach out and actively offer services to low-to-moderate income groups in the delineated branch service areas. It predominantly provides services such as checking and deposit, lines of credits, commercial and commercial real estate loans, merchant services and payment processing, treasury management services, international banking and financing services, and other customary banking services to individuals, professionals, and small to medium-sized businesses. Through its Wealth Management unit, the company also offers investment products and services, such as stocks, bonds, mutual funds, insurance, annuities, and advisory services.
Cathay General: Financial Performance Dissected
Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.
Revenue Growth: Cathay General's revenue growth over a period of 3 months has faced challenges. As of 31 December, 2023, the company experienced a revenue decline of approximately -4.05%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Financials sector.
Net Margin: Cathay General's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 40.21% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): Cathay General's ROE stands out, surpassing industry averages. With an impressive ROE of 3.07%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Cathay General's ROA excels beyond industry benchmarks, reaching 0.36%. This signifies efficient management of assets and strong financial health.
Debt Management: Cathay General's debt-to-equity ratio is below the industry average. With a ratio of 0.26, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
The Significance of Analyst Ratings Explained
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.