Cathay General Stock Options

CATY Stock  USD 43.37  1.10  2.60%   
Cathay General's latest option contracts expiring on May 16th 2025 are carrying combined implied volatility of 0.72 with a put-to-call open interest ratio of 0.68 over 20 outstanding agreements suggesting investors are buying more calls than puts on contracts expiring on May 16th 2025.

Open Interest Against May 16th 2025 Option Contracts

Cathay General option prices can potentially be used to forecast stock returns because most option chains provide information not only about the current prices but also about the future conditions in Cathay General's lending market. For example, when Cathay General's puts are not actively trading or completely missing in the marketplace, investors can use it to internalize expected shorting costs. So if an investor is writing a put option on Cathay General, he or she must hedge the risk by shorting Cathay General stock over its option's life.
The chart above shows Cathay General's distribution of open interest by maturity on contracts that have not yet been settled. The area between the two highest points is the projection of the price at expiration. Cathay General's open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for Cathay General's option, there is no secondary market available for investors to trade.

In The Money vs. Out of Money Option Contracts on Cathay General

Analyzing Cathay General's in-the-money options over time can help investors to take a profitable long position in Cathay General regardless of its overall volatility. This is especially true when Cathay General's options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money Cathay General's options could be used as guardians of the underlying stock as they move almost dollar for dollar with Cathay General's stock while costing only a fraction of its price.

Cathay General Bancorp In The Money Call Balance

When Cathay General's strike price is surpassing the current stock price, the option contract against Cathay General Bancorp stock is said to be in the money. When it comes to buying Cathay General's options that are 'In the Money' or 'Out of the Money', the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
While 'out-of-the-money' option contracts written on Cathay General Bancorp are typically viewed as the more aggressive, there are potential upsides to purchasing these types of options contracts. For one, the cost to buy an 'Out of the Money' option is lower than the cost to buy an 'In the Money' option. This cost-benefit is due to the fact that at the time of the purchase, 'Out of the Money' contracts have no intrinsic value. So, while the potential for a 100% loss is more significant, the cost and risk to enter the trade are lower.

Cathay Current Options Market Mood

Cathay General's open interest and total value indicators provide investors with the necessary information to digest the overall options buildup for its expiring contracts. In addition, it helps Cathay Stock's traders understand whether a recent fall or rise in the market is unreasonable and if the time has come to take contrarian positions. These ratios are calculated based on options trading volumes and current open interest.

Put-to-Call Open Interest

Put-to-Call Volume

Most options investors, including buyers and sellers of Cathay General's calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. Cathay General's option open interest and volume spread between outstanding puts and calls are regarded by many investors as reliable indicators of the overall future market direction.

Rule 16 of the current Cathay contract

Base on the Rule 16, the options market is currently suggesting that Cathay General Bancorp will have an average daily up or down price movement of about 0.045% per day over the life of the 2025-05-16 option contract. With Cathay General trading at USD 43.37, that is roughly USD 0.0195. If you think that the market is fully incorporating Cathay General's daily price movement you should consider buying Cathay General Bancorp options at the current volatility level of 0.72%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
  
Purchasing Cathay General options can give investors a meaningful hedge against losses and, therefore, could be used conservatively to decrease the volatility of your portfolio. However, many options could also amount to little more than gambling, significantly enhancing your overall portfolio risk. One simple example of these aggressive strategies is the sale of "uncovered" Cathay calls. Remember, the seller must deliver Cathay General Bancorp stock to the call owner when a call is exercised.

Cathay General Option Chain

When Cathay General's strike price is surpassing the current stock price, the option contract against Cathay General Bancorp stock is said to be in the money. When it comes to buying options that are ITM or OTM, the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
Cathay General's option chain is a display of a range of information that helps investors for ways to trade options on Cathay. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Cathay. It also shows strike prices and maturity days for a Cathay General against a given expiration period. The table below combines all the option information in the form of a chain but before you use it, remember that it entails significant risk and it is not for everyone.
Open IntStrike PriceCurrent SpreadLast Price
Call
CATY250516C00075000075.00.0 - 4.24.2Out
Call
CATY250516C00070000070.00.0 - 4.24.2Out
Call
CATY250516C00065000065.00.0 - 4.24.2Out
Call
CATY250516C00060000060.00.0 - 4.24.2Out
Call
CATY250516C00055000855.00.0 - 4.32.3Out
Call
CATY250516C000500001650.00.0 - 2.12.07Out
Call
CATY250516C00045000145.00.0 - 4.84.8Out
Call
CATY250516C00040000040.02.55 - 7.02.55In
Call
CATY250516C00035000035.06.9 - 11.06.9In
Call
CATY250516C00030000030.011.9 - 15.511.9In
 Put
CATY250516P00075000075.030.5 - 34.530.5In
 Put
CATY250516P00070000070.025.5 - 29.525.5In
 Put
CATY250516P00065000065.021.1 - 25.021.1In
 Put
CATY250516P00060000060.016.4 - 20.016.4In
 Put
CATY250516P00055000055.011.1 - 15.011.1In
 Put
CATY250516P00050000050.06.5 - 10.06.5In
 Put
CATY250516P00045000045.01.9 - 6.01.9In
 Put
CATY250516P000400001740.00.0 - 2.01.0Out
 Put
CATY250516P00035000035.00.0 - 4.74.7Out
 Put
CATY250516P00030000030.00.0 - 4.44.4Out

Cathay General Selling And Marketing Expenses Over Time

   Selling And Marketing Expenses   
       Timeline  

Cathay General Market Cap Over Time

   Market Cap   
       Timeline  

Cathay Total Stockholder Equity

Total Stockholder Equity

2.99 Billion

At this time, Cathay General's Total Stockholder Equity is fairly stable compared to the past year.

Cathay General Corporate Management

May ChanGeneral VPProfile
Thomas LoExecutive OfficerProfile
Georgia LoAssistant RelationsProfile
Weston BarkwillChief AuditorProfile

Additional Tools for Cathay Stock Analysis

When running Cathay General's price analysis, check to measure Cathay General's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Cathay General is operating at the current time. Most of Cathay General's value examination focuses on studying past and present price action to predict the probability of Cathay General's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Cathay General's price. Additionally, you may evaluate how the addition of Cathay General to your portfolios can decrease your overall portfolio volatility.