Risk factor
Low price volatility
Profitability factor
Greatly overvalued vs peers
About
Commonwealth Bank of Australia provides integrated financial services in Australia, New Zealand, and internationally. It operates through Retail Banking Services, Business Banking, Institutional Banking and Markets, and New Zealand segments. The company offers transaction, savings, and foreign currency accounts; term deposits; personal and business loans; overdrafts; equipment finance; credit cards; international payment and trade; and private banking services, as well as home and car loans. It also provides retail, premium, business, offshore, and institutional banking services; and funds management, superannuation, and share broking products and services, as well as car, health, life, income protection, and travel insurance. The company offers advisory services for high-net-worth individuals; equities trading and margin lending services; debt capital, transaction banking, working capital, and risk management services; and international and foreign exchange services. As of June 30, 2022, it operated 807 branches/service centres and 2,095 ATMs. The company was founded in 1911 and is based in Sydney, Australia.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. In particular, the stock is overpriced on P/E. Editor's note: P/C
Target Price
The average target price of CBA.AX is 119 and suggests 31% downside potential. Usually, this means a SELL recommendation among investment firms, or a recommendation to de
Buy
Sell