WallStSmart

Cathay General Bancorp (CATY)vsHDFC Bank Limited ADR (HDB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HDFC Bank Limited ADR generates 368056% more annual revenue ($2.83T vs $769.55M). CATY leads profitability with a 43.2% profit margin vs 26.8%. HDB appears more attractively valued with a PEG of 1.01. CATY earns a higher WallStSmart Score of 77/100 (B+).

CATY

Strong Buy

77

out of 100

Grade: B+

Growth: 8.0Profit: 7.5Value: 6.3Quality: 5.5
Piotroski: 6/9Altman Z: -0.02

HDB

Strong Buy

68

out of 100

Grade: B-

Growth: 6.0Profit: 7.5Value: 6.3Quality: 5.0
Piotroski: 5/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CATY6 strengths · Avg: 9.3/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Profit MarginProfitability
43.2%10/10

Keeps 43 of every $100 in revenue as profit

Operating MarginProfitability
61.5%10/10

Strong operational efficiency at 61.5%

Debt/EquityHealth
0.0510/10

Conservative balance sheet, low leverage

P/E RatioValuation
12.6x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
31.6%8/10

Earnings expanding 31.6% YoY

HDB5 strengths · Avg: 9.2/10
Operating MarginProfitability
40.5%10/10

Strong operational efficiency at 40.5%

Free Cash FlowQuality
$1.72T10/10

Generating 1.7T in free cash flow

Market CapQuality
$122.21B9/10

Large-cap with strong market position

Profit MarginProfitability
26.8%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
16.8x8/10

Attractively priced relative to earnings

Areas to Watch

CATY1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
-0.022/10

Distress zone — elevated risk

HDB3 concerns · Avg: 3.0/10
Price/BookValuation
9.7x4/10

Trading at 9.7x book value

Debt/EquityHealth
1.003/10

Elevated debt levels

Revenue GrowthGrowth
-1.8%2/10

Revenue declined 1.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : CATY

The strongest argument for CATY centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 43.2% and operating margin at 61.5%. Revenue growth of 14.1% demonstrates continued momentum.

Bull Case : HDB

The strongest argument for HDB centers on Operating Margin, Free Cash Flow, Market Cap. Profitability is solid with margins at 26.8% and operating margin at 40.5%. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bear Case : CATY

The primary concerns for CATY are Altman Z-Score.

Bear Case : HDB

The primary concerns for HDB are Price/Book, Debt/Equity, Revenue Growth.

Key Dynamics to Monitor

CATY profiles as a mature stock while HDB is a declining play — different risk/reward profiles.

CATY carries more volatility with a beta of 0.86 — expect wider price swings.

CATY is growing revenue faster at 14.1% — sustainability is the question.

HDB generates stronger free cash flow (1.7T), providing more financial flexibility.

Bottom Line

CATY scores higher overall (77/100 vs 68/100), backed by strong 43.2% margins and 14.1% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Cathay General Bancorp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

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.

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HDFC Bank Limited ADR

FINANCIAL SERVICES · BANKS - REGIONAL · USA

HDFC Bank Limited offers various banking and financial services to individuals and businesses in India, Bahrain, Hong Kong and Dubai. The company is headquartered in Mumbai, India.

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