Cathay General Bancorp cash flow to debt ratio of 176.41% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.

Cathay General Bancorp's free cash flow has increased 11.72% from $325.52M last year to $363.66M, signaling increasing performance

Cathay General Bancorp's debt to equity ratio is 0.10, which means that the company's assets are healthy financed, signaling financial stability.

Cathay General Bancorp's debt has increased relative to shareholder equity from 0.08 last year to 0.10 today, signaling weakened financials

Cathay General Bancorp has a net cash position, so leverage is healthy.

Cathay General Bancorp earns at least as much interest as it pays. Interest obligations are fully covered.

Cathay General Bancorp's profit margin was 20.56% last year and is 25.62% this year, signaling increasing performance

Cathay General Bancorp's short-term liabilities of $9.68B exceed its short-term assets of $1.90B, signaling financial risk

Cathay General Bancorp's return on assets of 1.43% is lower than the 5.00% threshold, indicating inefficient asset utilization

Cathay General Bancorp's return on equity of 12.14%, is lower than 15.00%, indicating bad performance

Cathay General Bancorp's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Cathay General Bancorp had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Cathay General Bancorp has positive free cash flow, indicating the company generates cash after capital expenditures

Cathay General Bancorp has a free cash flow yield of 8.49%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Cathay General Bancorp's yearly earnings has increased 10.19% since last year from $285.98M to $315.12M, signaling increasing performance

Cathay General Bancorp's yearly revenue has decreased 5.85% since last year from $1.39B to $1.31B, signaling decreasing performance

ROIC 1.50% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Cathay General Bancorp's 3-year revenue CAGR of 15.10% is positive, indicating growing revenue over the past 3 years

Cathay General Bancorp had revenue growth in 3 out of 5 years, indicating consistent revenue performance

Cathay General Bancorp had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Cathay General Bancorp is undervalued relative to its fair value price of 97.59 based on Base Cash Flow Valuation (DCF) model

Cathay General Bancorp has an earnings yield of 8.54%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Cathay General Bancorp is undervalued relative to its fair value price of 67.07 based on Base EBITDA Valuation model

Cathay General Bancorp has an EV/EBITDA ratio of 6.35x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Cathay General Bancorp is undervalued relative to its fair value price of 125.35 based on Base Earnings Fair Value model

Cathay General Bancorp has a PEG-ratio over 1 which is considered overvalued

Cathay General Bancorp has a price-to-book ratio of 1.40x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Cathay General Bancorp has a price-to-sales ratio of 3.00x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue