Cathay General Bancorp (NASDAQ:CATY) Financial Overview and Price Target

• Price Target: Gary Tenner from D.A. Davidson sets a price target of $51, indicating a potential increase of about 5.72%.
• Q2 Earnings Performance: CATY reports diluted earnings per share of $1.10, slightly above expectations, with revenue at $195.9 million.
• Credit Quality Concerns: The rise in non-performing assets signals potential credit quality issues that could affect future financial health.

Cathay General Bancorp (NASDAQ:CATY) is a financial institution with a strong foothold in Asian-American communities. Founded in 1962 and headquartered in Los Angeles, the bank offers a range of services, including loans and deposit accounts, primarily targeting Chinese-American and other minority communities across the U.S. West Coast, New York, and select Asian markets.

On July 23, 2025, Gary Tenner from D.A. Davidson set a price target of $51 for CATY. At that time, the stock was priced at $48.24, suggesting a potential increase of about 5.72%. Currently, the stock is priced at $48.55, reflecting a 1.39% increase or $0.66. The stock has fluctuated between $47.50 and $48.68 during the day.

CATY's second-quarter earnings for 2025 showed a slight outperformance against Wall Street expectations. The bank reported diluted earnings per share of $1.10, just above the consensus estimate of $1.09. Revenue for the quarter was $195.9 million, slightly below the anticipated $195.92 million, as highlighted by the financial report.

Despite the positive earnings, CATY's quarter revealed a rise in non-performing assets, indicating potential concerns in credit quality. This aspect is crucial for investors to monitor, as it could impact the bank's future financial health. The company's market capitalization is approximately $3.4 billion, with a trading volume of 593,700 shares on the NASDAQ exchange.