Pacific Graysby

Cephalopholis panamensis grows up to a total length of 39 centimetres (15 in), but it is more commonly around 20 centimetres (7.9 in). It has a robust body which is oblong-shaped with a long snout and a convex profile in the intraorbital region. Most of its teeth are movable. It has a rounded, finely serrated preopercle and there are 48-49 scales in the lateral line. The dorsal fin contains 9 spines, with the third spine being the longest, and 14-15 soft rays while the anal fin has 3 spines and 8 soft rays. The membrane of the dorsal fin is notched between the front spines.The adults have a pale grey-brown body with around 9 dark vertical bars along the flanks. The head is dark with diagonal pale bands, a patterning of blue and orange spots and a large dark blotch just to the rear of the eye. The dorsal fin spines are dark while the membrane is pale while the soft rayed part of that fin is dark with a pale line along its base. The caudal fin and anal fin are dark. Juveniles have a medium blue grey body, a pale blue-grey lower head which is marked with orange spots and lines with the upper part of the head and the spiny part of the dorsal fin being green. They also have a blue grey soft rayed portion of the dorsal fin and a blue grey caudal fin with a black margin.

Cephalopholis panamensis is found in the eastern Pacific where it is distributed from the Gulf of California, Mexico to northern Peru. Its range includes Islas Marías and the Revillagigedos in Mexico, the Galápagos in Ecuador, Malpelo Island in Colombia and the Cocos Island in Costa Rica.

They are protogynous hermaphrodites, the males are larger and older than the females with the sex ratio biased towards there being more females. They form harems made up of a single male and several females. They form pairs to court in the evening. Spawning takes place around the full moon and they spawn between May and September, peaking in July to August in the central Gulf of California. The females attain sexual maturity at around 17 centimetres (6.7 in) when they are a year and a half old, the change to male takes place when they are 20 centimetres (7.9 in) and at least three years old. They can live for up to 16 years.