CATY Reports Net Loss For Q1

Analysts at Cantor Fitzgerald reiterate their "hold" rating on Cathay General Bancorp (NASDAQ: CATY). The target price for CATY is set to $14.

According to Cantor Fitzgerald, “CATY reported a Q1 net loss at $0.41 per share due to higher-than-expected loan loss provisioning, though credit quality could be more stable than it appears, in our view.”

“The bad news: nonperforming assets (NPAs) were up 5% (after declining in 4Q:09) and provisioning remained very high (4.8% of loans). Better news, in our view: (a) 30-89 day delinquencies were down 42%; (b) nonaccrual loans were down 6%; and (c) NPAs are skewed somewhat by one big loan (11% of NPAs) that is expected to be cured in 4Q:10,” the analysts mention. More Analyst Ratings here