Stock Analysis Report

Executive Summary

Cambridge Bancorp operates as the bank holding company for Cambridge Trust Company that provides commercial and consumer banking, and investment management and trust services.

Snowflake Analysis

Flawless balance sheet established dividend payer.

Similar Companies

Share Price & News

How has Cambridge Bancorp's share price performed over time and what events caused price changes?

Latest Share Price and Events

Stable Share Price: CATC has not had significant price volatility in the past 3 months.

Market Performance

7 Day Return




US Banks


US Market

1 Year Return




US Banks


US Market

Return vs Industry: CATC underperformed the US Banks industry which returned 11.1% over the past year.

Return vs Market: CATC underperformed the US Market which returned 19.3% over the past year.

Shareholder returns

7 Day1.6%-0.3%0.06%
30 Day-2.4%-0.5%1.7%
90 Day-7.4%0.6%9.0%
1 Year-12.5%-14.8%14.4%11.1%21.8%19.3%
3 Year24.7%14.8%24.7%15.7%49.5%39.9%
5 Year93.3%65.0%74.9%55.1%73.1%54.1%

Price Volatility Vs. Market

How volatile is Cambridge Bancorp's share price compared to the market and industry in the last 5 years?

Simply Wall St News


Is Cambridge Bancorp undervalued compared to its fair value and its price relative to the market?


Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: CATC ($73.98) is trading below our estimate of fair value ($129.02)

Significantly Below Fair Value: CATC is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: CATC is poor value based on its PE Ratio (13.7x) compared to the Banks industry average (12.6x).

PE vs Market: CATC is good value based on its PE Ratio (13.7x) compared to the US market (18.5x).

Price to Earnings Growth Ratio

PEG Ratio: CATC is good value based on its PEG Ratio (0.4x)

Price to Book Ratio

PB vs Industry: CATC is overvalued based on its PB Ratio (1.4x) compared to the US Banks industry average (1.2x).

Next Steps

Future Growth

How is Cambridge Bancorp forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: CATC's forecast earnings growth (32.3% per year) is above the savings rate (1.7%).

Earnings vs Market: CATC's earnings (32.3% per year) are forecast to grow faster than the US market (14.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CATC's revenue (12.7% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: CATC's revenue (12.7% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: CATC's Return on Equity is forecast to be low in 3 years time (10.9%).

Next Steps

Past Performance

How has Cambridge Bancorp performed over the past 5 years?


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CATC has high quality earnings.

Growing Profit Margin: CATC's current net profit margins (22.3%) are lower than last year (24.9%).

Past Earnings Growth Analysis

Earnings Trend: CATC's earnings have grown by 10.5% per year over the past 5 years.

Accelerating Growth: CATC's earnings growth over the past year (5.8%) is below its 5-year average (10.5% per year).

Earnings vs Industry: CATC earnings growth over the past year (5.8%) underperformed the Banks industry 12.2%.

Return on Equity

High ROE: CATC's Return on Equity (8.8%) is considered low.

Return on Assets

Return on Capital Employed

Next Steps

Financial Health

How is Cambridge Bancorp's financial position? (This company is analysed differently as a bank or financial institution)

Financial Position Analysis

Debt to Equity History and Analysis

Balance Sheet

Inventory Level: CATC has a low level of unsold assets or inventory.

Debt Coverage by Assets: CATC's debt is not covered by short term assets (assets are 0.5x debt).

Financial Institutions Analysis

Asset Level: CATC's level of assets compared to its equity is low.

Allowance for Bad Loans: CATC has a sufficient allowance for bad loans.

Low Risk Liabilities: CATC's liabilities are made up of primarily low risk sources of funding.

Loan Level: CATC has an acceptable proportion of non-loan assets held.

Low Risk Deposits: CATC's loans are broadly funded by customer deposits.

Level of Bad Loans: CATC has an appropriate level of bad loans (0.25%)

Next Steps


What is Cambridge Bancorp's current dividend yield, its reliability and sustainability?


Current Dividend Yield

Dividend Yield vs Market


Current dividend yield vs market & industry

Notable Dividend: CATC's dividend (2.87%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: CATC's dividend (2.87%) is low compared to the top 25% of dividend payers in the US market (3.71%).

Stability and Growth of Payments

Stable Dividend: CATC's dividends per share have been stable in the past 10 years.

Growing Dividend: CATC's dividend payments have increased over the past 10 years.

Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.8%), CATC's dividend payments are well covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: CATC's dividends in 3 years are forecast to be well covered by earnings (30.2% payout ratio).

Next Steps


How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Denis Sheahan (53yo)





Mr. Denis K. Sheahan serves as Chief Executive Officer of Cambridge Bancorp and of Cambridge Trust Company. Prior to joining Cambridge Trust Company in 2015, Mr. Sheahan spent 19 years at Independent Bank  ...

CEO Compensation Analysis

Compensation vs Market: Denis's total compensation ($USD1.93M) is about average for companies of similar size in the US market ($USD1.66M).

Compensation vs Earnings: Denis's compensation has increased by more than 20% in the past year.

Leadership Team

Denis Sheahan
Chairman & CEO4.8yrsUS$1.93m0.44% $1.8m
Mark Thompson
President & Director2.4yrsUS$1.09m0.18% $729.1k
Michael Carotenuto
Senior VP3.3yrsUS$613.64k0.083% $330.7k
Jennifer Pline
Executive VP & Head of Wealth Management3.1yrsUS$880.86k0.088% $354.2k
Martin Millane
Executive VP & Chief Lending Officer0yrsUS$773.01k0.33% $1.3m
Puneet Nevatia
Senior VP & Chief Information Officer0yrsno data0.041% $163.6k
Jennifer Willis
Senior VP & Chief Marketing Officer0yrsno data0.020% $80.1k
Pilar Pueyo
Senior VP & Director of Human Resources0yrsno data0.037% $150.1k
Scott Chamberlin
Senior Vice President4yrsno datano data
Marc Gearin
Senior Vice President of Private Banking2yrsno datano data


Average Tenure


Average Age

Experienced Management: CATC's management team is considered experienced (3.2 years average tenure).

Board Members

Denis Sheahan
Chairman & CEO4.8yrsUS$1.93m0.44% $1.8m
Mark Thompson
President & Director2.4yrsUS$1.09m0.18% $729.1k
R. Stone
Independent Director10.3yrsUS$63.85k0.17% $661.9k
Jeanette Clough
Independent Director12.1yrsUS$52.80k0.085% $341.0k
Edward Jankowski
Independent Director3.8yrsUS$56.95k0.036% $143.4k
Linda Whitlock
Independent Director18.1yrsUS$65.70k0.10% $400.1k
Cathleen Schmidt
Independent Director3.8yrsUS$60.45k0.041% $165.6k
Sarah Green
Independent Director5.7yrsUS$69.05k0.041% $162.7k
Hambleton Lord
Independent Director7.8yrsUS$64.40k0.058% $233.3k
Leon Palandjian
Independent Director14.1yrsUS$65.15k0.092% $366.7k


Average Tenure


Average Age

Experienced Board: CATC's board of directors are considered experienced (6.7 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: CATC insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 14%.

Top Shareholders

Company Information

Cambridge Bancorp's company bio, employee growth, exchange listings and data sources

Key Information

  • Name: Cambridge Bancorp
  • Ticker: CATC
  • Exchange: NasdaqCM
  • Founded: 1890
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$400.409m
  • Shares outstanding: 5.41m
  • Website:

Number of Employees


  • Cambridge Bancorp
  • 1336 Massachusetts Avenue
  • Cambridge
  • Massachusetts
  • 2138
  • United States


TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CATCNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDOct 1998


Cambridge Bancorp operates as the bank holding company for Cambridge Trust Company that provides commercial and consumer banking, and investment management and trust services. The company accepts various deposits, such as checking and savings accounts, certificates of deposit, money market accounts, individual retirement accounts, and time and demand deposits. Its loan products include residential and commercial real estate loans; home equity lines of credit and term loans; commercial and industrial loans; secured and unsecured loans, lines of credit, and personal installment loans; and construction loans. The company also offers cash management, online and mobile banking, and payments services. It serves commercial enterprises, non-profit organizations, and individuals. As of March 15, 2019, the company operated 10 Massachusetts locations in Cambridge, Boston, Belmont, Concord, Lexington, and Weston; and wealth management offices in Boston, Massachusetts, as well as in Concord, Manchester, and Portsmouth, New Hampshire. Cambridge Bancorp was founded in 1890 and is headquartered in Cambridge, Massachusetts. 

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 00:30
End of Day Share Price2020/02/21 00:00
Annual Earnings2019/12/31

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.