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Cathay (CATY) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates

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For the quarter ended June 2024, Cathay General (CATY - Free Report) reported revenue of $178.53 million, down 12.8% over the same period last year. EPS came in at $0.97, compared to $1.28 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $179.5 million, representing a surprise of -0.54%. The company delivered an EPS surprise of +1.04%, with the consensus EPS estimate being $0.96.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Cathay performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Efficiency Ratio: 55.7% versus the three-analyst average estimate of 50.9%.
  • Net Interest Margin: 3% versus the three-analyst average estimate of 3%.
  • Average balance - Total interest-earning assets: $22.12 billion versus the three-analyst average estimate of $22.21 billion.
  • Tier 1 leverage capital ratio: 10.8% versus the two-analyst average estimate of 11%.
  • Net interest income before provision for loan losses: $165.32 million versus $165.22 million estimated by three analysts on average.
  • Total Non-Interest Income: $13.22 million versus $14.43 million estimated by three analysts on average.
  • Letters of credit commissions: $1.89 million versus $1.87 million estimated by two analysts on average.
View all Key Company Metrics for Cathay here>>>

Shares of Cathay have returned +16.5% over the past month versus the Zacks S&P 500 composite's +0.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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