Cathay General Bancorp (CATY)
Cathay General Bancorp is the holding company of Cathay Bank offering various commercial banking products and services to individuals, professionals, and small and medium-sized businesses in the United States. The company is headquartered in Los Angeles, California.
Stock Price Trends
Stock price trends estimated using linear regression.
Key facts
- The primary trend is decreasing.
- The decline rate of the primary trend is 1.60% per annum.
- CATY price at the close of November 20, 2024 was $50.75 and was higher than the top border of the primary price channel by $7.47 (17.27%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 26.16% per annum.
- CATY price at the close of November 20, 2024 was inside the secondary price channel.
- The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.
Linear Regression Model
Model equation:
Yi = α + β × Xi + εi
Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)
Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)
where:
i - observation number
Yi - natural logarithm of CATY price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e
Primary Trend
Start date: February 19, 2021
End date: July 12, 2024
a = 3.6595
b = 0.0000
s = 0.0944
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0000) – 1
= -1.60%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0944) – 1
= 45.86%
February 19, 2021 calculations
Top border of price channel:
Exp(Y312)
= Exp(a + b × X312 + 2 × s)
= Exp(a + b × 456 + 2 × s)
= Exp(3.6595 + 0.0000 × 456 + 2 × 0.0944)
= Exp(3.8281)
= $45.97
Bottom border of price channel:
Exp(Y312)
= Exp(a + b × X312 – 2 × s)
= Exp(a + b × 456 – 2 × s)
= Exp(3.6595 + 0.0000 × 456 – 2 × 0.0944)
= Exp(3.4506)
= $31.52
July 12, 2024 calculations
Top border of price channel:
Exp(Y1,165)
= Exp(a + b × X1,165 + 2 × s)
= Exp(a + b × 1,695 + 2 × s)
= Exp(3.6595 + 0.0000 × 1,695 + 2 × 0.0944)
= Exp(3.7734)
= $43.53
Bottom border of price channel:
Exp(Y1,165)
= Exp(a + b × X1,165 – 2 × s)
= Exp(a + b × 1,695 – 2 × s)
= Exp(3.6595 + 0.0000 × 1,695 – 2 × 0.0944)
= Exp(3.3959)
= $29.84
Description
- The primary trend is decreasing.
- The decline rate of the primary trend is 1.60% per annum.
- CATY price at the close of November 20, 2024 was $50.75 and was higher than the top border of the primary price channel by $7.47 (17.27%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: March 23, 2023
End date: November 20, 2024
a = 2.6356
b = 0.0006
s = 0.0795
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0006) – 1
= 26.16%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0795) – 1
= 37.46%
March 23, 2023 calculations
Top border of price channel:
Exp(Y838)
= Exp(a + b × X838 + 2 × s)
= Exp(a + b × 1,218 + 2 × s)
= Exp(2.6356 + 0.0006 × 1,218 + 2 × 0.0795)
= Exp(3.5702)
= $35.53
Bottom border of price channel:
Exp(Y838)
= Exp(a + b × X838 – 2 × s)
= Exp(a + b × 1,218 – 2 × s)
= Exp(2.6356 + 0.0006 × 1,218 – 2 × 0.0795)
= Exp(3.2520)
= $25.84
November 20, 2024 calculations
Top border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(2.6356 + 0.0006 × 1,826 + 2 × 0.0795)
= Exp(3.9574)
= $52.32
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(2.6356 + 0.0006 × 1,826 – 2 × 0.0795)
= Exp(3.6392)
= $38.06
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 26.16% per annum.
- CATY price at the close of November 20, 2024 was inside the secondary price channel.