Cathay General Bancorp (CATY) vs Texas Capital Bancshares, Inc. (TCBI)

Cathay General Bancorp and Texas Capital Bancshares, Inc. are both Banks Regional companies. Cathay General Bancorp and Texas Capital Bancshares, Inc. are of similar size ($4.5B and $4.2B). Cathay General Bancorp trades at the lower P/E: 11.8× against 13.1×. Cathay General Bancorp grew revenue faster over the last twelve months: 5.21% against 3.04%. Cathay General Bancorp has the higher net margin (25.3% vs 16.9%) and the lower return on invested capital (18.0% vs 22.8%). Both pay a dividend; Cathay General Bancorp yields more (2.31% vs 0.39%). Across the 19 metrics below, Texas Capital Bancshares, Inc. leads on 10 and Cathay General Bancorp on 9.

Valuation

Metric CATY TCBI Banks Regional median
P/E 11.78 13.10 12.02
P/S 2.96 2.17 2.36
P/B 1.40 1.39 1.23
Price to free cash flow 7.99 7.01 10.60
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 8.49% 7.63% 8.21%
Free cash flow yield 12.51% 14.27% 9.23%

Profitability

Metric CATY TCBI Banks Regional median
Gross margin 63.47% 65.65% 69.81%
Operating margin 0.00% 0.00% 0.00%
Net margin 25.32% 16.90% 18.82%
Free cash flow margin 0.00% 25.34% 17.97%
Return on equity 0.00% 10.60% 10.28%
Return on assets 1.47% 1.07% 1.13%
Return on invested capital 18.00% 22.80% 8.45%

Growth

Metric CATY TCBI Banks Regional median
Revenue growth (TTM) 5.21% 3.04% 6.37%
EPS growth (last fiscal year) 14.94% 430.47% 18.85%
Revenue growth, 5-year CAGR 13.25% 9.98% 12.65%
Net income growth, 5-year CAGR 6.61% 40.81% 9.81%

Health

Metric CATY TCBI Banks Regional median
Debt to equity 0.09 0.14 0.17
Current ratio 1.04 0.99 0.93
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric CATY TCBI Banks Regional median
Dividend yield 2.31% 0.39% 2.49%
Payout ratio 0.27 0.05 0.29

Size

Metric CATY TCBI Banks Regional median
Market cap 4.24b 4.48b 934.85m

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