What is Cathay General Bancorp's Shariah compliance score?

Cathay General Bancorp's (CATY) compliance score is being calculated. Check HalalScreener.app for the latest AAOIFI screening results.

Does Cathay General Bancorp pass AAOIFI screening?

Cathay General Bancorp (CATY) does not pass AAOIFI Shariah screening. AAOIFI requires: (1) no primary involvement in prohibited activities like alcohol, gambling, or conventional banking, (2) debt-to-market-cap below 30% (CATY: 2.8%), (3) interest-bearing deposits below 30% (CATY: 43.2%), and (4) prohibited income below 5% (CATY: 2440.4%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for Cathay General Bancorp stock?

Cathay General Bancorp (CATY) has a non-permissible income ratio of 2440.37%. Muslim investors should purify this percentage of any dividends received and capital gains realized from CATY shares by donating it to charity. HalalScreener's purification calculator at halalscreener.app/en/purification automates this calculation using the latest financial data.

Where can I screen Cathay General Bancorp for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for Cathay General Bancorp (CATY) and 10,000+ other US-listed stocks, ETFs, and 100+ cryptocurrencies. The screening uses AAOIFI Standard No. 21 and shows all financial ratios transparently. No credit card or signup required for basic screening. HalalScreener also includes an AI Islamic Scholar for follow-up questions about CATY's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

CATY: Is Cathay General Bancorp Halal?

Cathay General Bancorp

NASDAQFinancial ServicesUS

$61.53

+0.13%

Market Cap: 4.1B

Compliance Status

Not Halal

Screened on Jul 20, 2026 · AAOIFI Standard 21

Non-Compliant

0Score

Is Cathay General Bancorp (CATY) halal? Not Halal. Based on AAOIFI screening, Cathay General Bancorp has involvement in prohibited business activities with a compliance score of 0/100 (Grade: F).

AvoidBorderlineClean

Business activity

Involved in prohibited business activities.

Failed

Company debt

Well clear of the limit

How much the company borrows, compared to its total value. AAOIFI allows up to 30%.

2.8% of 30.0% limit

What this means for you

Most scholars advise not holding CATY

It does not pass AAOIFI Shariah screening.

See halal alternatives from the same sector further down this page

About Cathay General Bancorp

Cathay General Bancorp serves as the parent entity for Cathay Bank, a financial institution that delivers a broad spectrum of commercial banking solutions. These services are tailored for individual clients, professional practices, and small to medium-sized enterprises, primarily within the United States. The bank offers a diverse array of deposit products, encompassing passbook, checking, and money market accounts, alongside certificates of deposit (CDs), individual retirement accounts (IRAs), and public sector fund deposits. On the lending side, Cathay Bank provides various loan offerings, including commercial mortgages, general commercial loans, Small Business Administration (SBA) loans, residential mortgages, and real estate construction financing, as well as home equity lines of credit. It also extends personal installment loans designed for household and other consumer expenditures. Beyond its core banking activities, the company furnishes services such as trade financing, letters of credit, wire transfers, foreign currency spot and forward contracts, and traveler's checks. Additional conveniences include safe deposit boxes, night deposit facilities, Social Security payment deposits, collection services, bank-by-mail, drive-up and walk-up windows, automatic teller machines (ATMs), and internet banking. Furthermore, it offers investment services, various other customary banking provisions, and both securities and insurance products. As of March 1, 2022, Cathay General Bancorp maintained a substantial physical presence, operating 31 branches in Southern California, 16 in Northern California, 10 in New York, four in Washington, and two each in Illinois and Texas. Single branches are located in Maryland, Massachusetts, Nevada, New Jersey, and Hong Kong. The corporation also maintains representative offices in Beijing, Taipei, and Shanghai. Established in 1962, the company maintains its headquarters in Los Angeles, California.

Sector: Financial Services · Industry: Banks - Regional

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 20, 2026

Business Activity Screen

Failed

Checks if the business is involved in prohibited activities (alcohol, gambling, pork, conventional banking, etc.)

Prohibited industry: Banks - Regional

Compliance History

Not Halal, unchanged since May 2026.

No status changes recorded since we began tracking.

Tracked since May 2026. Updates automatically on each re-screen.

Fiscal: Q1 2026Data source: EDGAR

Halal Alternatives in Financial Services

This stock is not Shariah-compliant. Here are halal alternatives from the same sector, ranked by compliance score:

GLDA+

SPDR Gold Shares

$368.41

+0.17%

SLVA+

iShares Silver Trust

$50.78

+0.47%

PSLVA+

Sprott Physical Silver Trust

$21.30

+6.23%

PHYSA+

Sprott Physical Gold Trust

$31.75

+0.19%

ABA+

AllianceBernstein Holding L.P.

$36.03

-1.13%

More Financial Services Stocks

JPM

JPMorgan Chase & Co.

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Mastercard Incorporated

A+

PYPL

PayPal Holdings, Inc.

C+

BAC

Bank of America Corporation

WFC

Wells Fargo & Company

Free · No credit card required

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Frequently Asked Questions

Is Cathay General Bancorp (CATY) halal to invest in?

Cathay General Bancorp (CATY) is rated Not Halal under AAOIFI Standard 21 screening. It fails either the business activity screen (primary involvement in prohibited sectors such as conventional banking, alcohol, or gambling) or one of the quantitative financial ratio thresholds. Muslim investors should avoid or exit this position.

Why did Cathay General Bancorp get a F compliance rating?

Cathay General Bancorp (CATY) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 2.8% (limit 30%); interest-bearing deposits of 43.2% (limit 30%); prohibited income of 2440.37% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Cathay General Bancorp's Shariah verdict?

Cathay General Bancorp's verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.

How often is Cathay General Bancorp re-screened for Shariah compliance?

Cathay General Bancorp (CATY) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Jul 20, 2026.

Screened according to AAOIFI Standard No. 21 · For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.