Cathay General Bancorp (CATY) Stock Price & How to Invest
Last updated July 2026
Short answer
Cathay General Bancorp (CATY) is the holding company for Cathay Bank, a mid-sized regional lender that has served Chinese-American and broader Asian-American communities since 1962, and its stock is essentially a bet on commercial real estate and business lending, net interest margins, and credit quality across US-Asia trade corridors.
CATY stock price
As of 2026-07-10, Cathay General Bancorp (CATY) last closed at $61.53, up 27.9% over the past year. Over the past 52 weeks it has traded between $44.78 and $63.28.
Prices are daily closing prices from Yahoo Finance and may be delayed. For the live quote, check your broker or Cathay General Bancorp's investor relations page. Walnut is informational, not investment advice.
What does Cathay General Bancorp (CATY) do?
Cathay General Bancorp is a Los Angeles-headquartered bank holding company whose main operating subsidiary, Cathay Bank, provides commercial and consumer banking to small and middle-market businesses, commercial real estate borrowers, and retail households. Founded in 1962 in Los Angeles Chinatown, the franchise was built to serve customers often underserved by mainstream banks, especially Asian-American communities, and it specializes in commercial real estate lending, commercial and industrial loans for import-export clients, trade finance, treasury services, and relationship banking. With roughly $24 billion in total assets, about $20.7 billion in deposits, and a loan book near $19.5 billion, Cathay ranks among the larger publicly traded US regional banks, with branches concentrated in California, New York, and other markets with significant Asian-American populations plus a presence in Hong Kong and mainland China.
The investment picture centers on net interest income, loan growth, and credit quality. Like most banks, Cathay earns the bulk of its money from the spread between what it charges on loans and what it pays on deposits, so its net interest margin (around 3.43 percent in early 2026) and the level of interest rates drive earnings. Commercial real estate makes up roughly half the loan book, which gives the bank scale in a category it knows well but also concentrates its risk. Recent results have shown margin expansion and solid profitability, and the stock trades at a low-double-digit price-to-earnings multiple that reflects a durable niche franchise alongside the cyclical and concentration risks common to regional banks.
What's driving Cathay General Bancorp (CATY)?
1. Net interest margin and rate environment
Net interest income was about $194 million in the first quarter of 2026 with a net interest margin near 3.43 percent, and margin expansion was a key driver of the quarter's earnings beat. As deposit costs stabilize and higher-cost funding reprices, the spread Cathay earns can widen, though the direction of short-term rates remains the biggest swing factor for the bank's core profitability.
2. Niche franchise and deposit base
Cathay's decades-long focus on Asian-American businesses and households gives it a loyal customer base, trade-finance expertise, and access to US-Asia commerce corridors that larger banks serve less directly. This relationship-driven model supports a stable deposit base of roughly $20.7 billion and cross-border lending that is hard for generic competitors to replicate.
3. Loan growth and commercial real estate exposure
With total loans near $19.5 billion and commercial real estate around half the book, loan growth and the health of CRE borrowers are central to earnings. The concentration gives Cathay depth in a category it knows well, but it also ties results to property values, occupancy, and refinancing conditions in its core California and New York markets.
4. Capital returns and credit reserves
Cathay pays a quarterly dividend of $0.38 per share (a yield around 2.5 percent) and has strengthened credit reserves alongside recent results. Its capital position and reserve building give it flexibility to absorb credit stress while continuing to return cash to shareholders through dividends and buybacks.
What are the risks to Cathay General Bancorp (CATY)?
The largest risk is commercial real estate concentration, since roughly half the loan book is CRE and a downturn in property values, occupancy, or refinancing could drive higher charge-offs. Net interest margin is sensitive to interest rates and deposit competition, so falling rates or rising funding costs would pressure earnings. As a regional bank, Cathay also faces deposit-flight and liquidity risks that the 2023 regional-bank stress highlighted, along with heavy banking regulation. Its geographic and community concentration means regional economic weakness, especially in California, or a slowdown in US-Asia trade could disproportionately affect its borrowers.
How is Cathay General Bancorp (CATY) valued? (approximate, July 2026)
A simple financial snapshot. These are approximations and refresh quarterly; for current figures see Cathay General Bancorp's investor relations page or your broker.
- Revenue (TTM): ~$850M
- Q1 2026 net income: ~$87M
- Q1 2026 diluted EPS: ~$1.29
- Total assets: ~$24B
- Market cap: ~$3.9B
- P/E (trailing): ~12x
As of July 2026, Cathay trades at roughly 12 times trailing earnings on EPS of about $4.85, a low-double-digit multiple typical of regional banks and below larger money-center peers. Net income was about $86.9 million, or $1.29 per diluted share, in the first quarter of 2026, down slightly from the prior quarter but up sharply from the year-ago period, with margin expansion offsetting higher credit reserves.
Who competes with Cathay General Bancorp (CATY)?
Asian-American-focused regional banks
East West Bancorp (EWBC), Hope Bancorp (HOPE), and Hanmi Financial (HAFC) compete most directly for the same commercial deposits, SBA lending, and Asian-American business relationships. East West is the largest of these and Cathay's closest peer, while Hope and Hanmi contest deposit share in overlapping metros.
Regional and community banks
Broader California and New York regional banks such as Western Alliance, Pacific Premier, and other mid-cap lenders compete for commercial real estate and C&I loans and for local deposits. They rival Cathay on pricing and product breadth, while Cathay leans on its niche relationships and trade-finance expertise.
Large national banks
Money-center and super-regional banks like JPMorgan, Bank of America, and Wells Fargo compete for larger commercial clients and offer wider product suites and technology. Cathay differentiates through community focus, cross-border China ties, and relationship banking rather than scale.
How to invest in Cathay General Bancorp (CATY)
There are three common ways to get CATY exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it, which spreads the position across many companies. Or build it into a focused thematic basket, so CATY sits alongside other stocks that express the same thesis.
Walnut takes the basket route. Describe a thesis where CATY fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.
The bottom line on Cathay General Bancorp (CATY)
CATY is a niche-focused regional bank whose earnings track loan growth, net interest margin, and credit costs, trading at a low-double-digit earnings multiple that reflects both its steady franchise and its commercial-real-estate concentration.
More on Cathay General Bancorp (CATY)
Whether CATY is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, what would have to go right, and the risks in is CATY a buy?, and where the stock could go from here in the CATY stock forecast.
For income investors, whether CATY pays a dividend and how the payout looks is covered in does CATY pay a dividend?
Build a basket around CATY with Walnut
Use Cathay General Bancorp as one constituent in a thematic basket Walnut's AI helps you assemble. Describe a thesis you believe in, the AI proposes the holdings and weights, and you approve before any broker order.
FAQ
What does Cathay General Bancorp do?
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It is the holding company for Cathay Bank, a full-service commercial bank founded in 1962 that serves small and middle-market businesses, commercial real estate borrowers, and retail households, with a longstanding focus on Asian-American communities. It offers commercial and consumer loans, trade finance, treasury services, and deposits, with roughly $24 billion in total assets.
How does Cathay make most of its money?
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Like most banks, its main profit engine is net interest income, the spread between what it earns on loans and what it pays on deposits. Net interest income was about $194 million in the first quarter of 2026 at a net interest margin near 3.43 percent. Fees add a smaller share of revenue.
Is Cathay General Bancorp profitable?
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Yes. Cathay reported net income of about $86.9 million, or $1.29 per diluted share, in the first quarter of 2026, up sharply from the year-ago quarter. Revenue was roughly $213 million for the quarter, reflecting a steady and profitable regional-bank franchise.
Why is CATY exposed to commercial real estate?
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Commercial real estate makes up roughly half of Cathay's loan book of about $19.5 billion, a deliberate specialization the bank has built over decades. This gives it depth in a category it knows well, but it also concentrates risk, so a downturn in property values or occupancy could raise loan losses.
Who competes with Cathay General Bancorp?
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Its closest peers are Asian-American-focused regional banks like East West Bancorp, Hope Bancorp, and Hanmi Financial, which compete for the same deposits and business relationships. It also faces broader regional banks and large national banks that offer wider product suites and scale.
Does Cathay pay a dividend?
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Yes. Cathay pays a quarterly dividend of about $0.38 per share, for a yield around 2.5 percent as of mid-2026, and it also repurchases stock. That blends income with the earnings growth of the underlying bank. Walnut is not an investment adviser, so weigh it against your own goals.
Is CATY stock cheap or expensive?
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As of July 2026 it trades at roughly 12 times trailing earnings, a low-double-digit multiple typical of regional banks and below larger money-center peers. That valuation reflects a durable niche franchise alongside the concentration and interest-rate risks common to community-focused lenders.
What are the main risks with Cathay General Bancorp?
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The biggest risks are its commercial real estate concentration, sensitivity of net interest margin to interest rates and deposit competition, and the deposit-flight and liquidity risks that affect all regional banks. Its concentration in California, New York, and US-Asia trade also ties results to those regional economies.
Walnut is informational, not investment advice. Financial figures on this page are approximations; always verify current numbers with Cathay General Bancorp's investor relations page or your broker before making investment decisions.