This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

6 Banks Actually Growing Their Banking Business

2. Cathay General Bancorp

Shares of Cathay General Bancorp (CATY) of Los Angeles closed at $17.4 Tuesday, returning 17% year-to-date, following a 10% decline last year.

The company owes $258 million in TARP money.

Cathay General reported first-quarter net interest income of $80.6 million, increasing 2% from the previous quarter and 7% year-over-year. The first-quarter net interest margin was 3.29%, according to HighlineFI, increasing from 3.22% in the second quarter, and 3.00% in the first quarter of 2011.

The company reported first-quarter net income attributable to common stockholders of $24.8 million, or 32 cents a share, increasing from $23.6 million, or 30 cents a share in the fourth quarter, and $18.0 million, or 23 cents a share, in the first quarter of 2011.

The company transferred $4 million from loan loss reserves during the first quarter, compared to provisions for reserves of $2 million the previous quarter, and $6 million a year earlier. Factoring-in loan losses, the company released $11.5 million in reserves during the first quarter, directly boosting operating earnings.

The shares trade for 1.4 times tangible book value, according to HighlineFI, and for 11 times the consensus 2013 EPS estimate of $1.56. The consensus 2012 EPS estimate is $1.31.

D.A. Davidson analyst Gary Tenner rates Cathay General a "Buy," with a 12-18 price target of $21, and a five-year price target of $25, saying on April 18 that the expansion of the bank's net interest margin was "driven by additional debt repayments as well as continued focus on reducing deposit costs," and that Cathay's "management is now focused on loan growth."

Tenner s estimates that Cathay General will earn $1.34 a share this year, followed by 2013 EPS of $1.70.

Interested in more on Cathay General Bancorp? See TheStreet Ratings' report card for this stock.
6 of 7

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
COF $88.32 -0.32%
DFS $58.45 0.05%
CVBF $17.51 -1.96%
TCB $16.33 -2.45%
WAFD $23.35 -1.97%

Markets

DOW 17,730.11 -27.80 -0.16%
S&P 500 2,076.78 -0.64 -0.03%
NASDAQ 5,009.2140 -3.9090 -0.08%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs