Anyone buying banks yet?

dyna · 1 November 2021

For a Nil tax payer or a retiree , buy backs will certainly provide a bit of tax benefit, sometimes, too, for a ( nominal ) 15% tax paying SMSF ( if there is no scale back ) .
For everybody else on higher marginal rates , it's hardly worth the bother. Take a look at the recent result of CBA's buyback offer.... what a waste of time.

frugal.rock · 1 November 2021

peter2 said:
if price closes near 25 I'll consider I'm omnipotent

It would appear that you will need to conjure up all your powers for that to happen today.
Forming a base on the intraday, however, tomorrow's a new day...
All eyes on the Fed I guess.
Already the biggest volume day since around May last year...

qldfrog · 1 November 2021

I went in at below 24$..ready to trigger sell if it does not go my way

KevinBB · 1 November 2021

sptrawler said:
@KevinBB do you have any info on the buyback conditions, or a link? Cheers

Sorry, have had visitors most of the afternoon. Don't know if you can see this link from the ASX web site:

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02445305-2A1335215?access_token=83ff96335c2d45a094df02a206a39ff4

If not, go to your favourite broker, WBC announcements, then Westpac announces $3.5 billion off-market share buy-back.
Page 3 onwards is a good summary.

KH

peter2 · 17 November 2021

Hmm, interesting, CBA back at $99. Reduced margins in a low interest rate environment, who would have guessed.
Like WBC, CBA has been hammered. Worth a nibble, IMO, or do we wait for lower?

Sean K · 17 November 2021

peter2 said:
Hmm, interesting, CBA back at $99. Reduced margins in a low interest rate environment, who would have guessed.
Like WBC, CBA has been hammered. Worth a nibble, IMO, or do we wait for lower?

Ex-Div, a mountain of support at $88 so not much downside, pending general market implosion.

Was it ex-Div, I just assumed?

KevinBB · 17 November 2021

No, not ex div. That's in 3 months time, or so. AFR says margin jitters, even though they showed an increase of 20% in quarterly cash profits.

From this AFR article:
The market was spooked by the deteriorating margins and the shares were sold off sharply in the opening minutes of trade falling much as 6 per cent following a stronger session on Wall Street.

KH

Sean K · 17 November 2021

KevinBB said:
No, not ex div. That's in 3 months time, or so. AFR says margin jitters, even though they showed an increase of 20% in quarterly cash profits.

From this AFR article:
The market was spooked by the deteriorating margins and the shares were sold off sharply in the opening minutes of trade falling much as 6 per cent following a stronger session on Wall Street.

KH

It's run pretty hard the past couple of months. Maybe overshot on the way up too.

KevinBB · 17 November 2021

Sean K said:
It's run pretty hard the past couple of months. Maybe overshot on the way up too.

Yes, it has. Don't know if I'd pay up for banks at these prices, although I did buy some ANZ, purely for dividends, a while ago.

For CBA, under $100 looks tempting, under $90 is appealing, under $80 is throw the kitchen sink at it. But, I'm waiting until CBA reports, then decide

KH

peter2 · 31 January 2022

Starting to consider the banks after they've been sold down a little and more pressure for the RBA to start raising interest rates.
They could go down further but I think they're close to the bottom. ANZ, NAB have held up better than the CBA and the worst is WBC.
I'll wait for their next reports and my chart based setups.

sptrawler · 31 January 2022

peter2 said:
Starting to consider the banks after they've been sold down a little and more pressure for the RBA to start raising interest rates.
They could go down further but I think they're close to the bottom. ANZ, NAB have held up better than the CBA and the worst is WBC.
I'll wait for their next reports and my chart based setups.

Interesting you mention this peter, I am seriously thinking about buying a few WBC, I already have a lot but at the level they are now and with no one going to apply for the buyback? Interesting IMO. Oversold?

sptrawler · 28 March 2022

peter2 said:
Starting to consider the banks after they've been sold down a little and more pressure for the RBA to start raising interest rates.
They could go down further but I think they're close to the bottom. ANZ, NAB have held up better than the CBA and the worst is WBC.
I'll wait for their next reports and my chart based setups.

Well Peter, they certainly seem to be coming out of the doldrums, I have NAB and WBC, both are starting to look like they might have turned the corner IMO.

Craton · 28 March 2022

Yep, DRP every six months.

peter2 · 9 June 2022

I'm starting to get interested and will place them in the reversal watch list.

Telamelo · 9 June 2022

peter2 said:
I'm starting to get interested and will place them in the reversal watch list.

Keep in mind that rumour is for RBA to inflict more pain with another rate rise in July - If so, the Big4 Banks will likely become cheaper imo

Sharkman · 9 June 2022

i'll likely get some CBA put to me at $100 (effectively $97.75 after factoring in the premium received) next thurs. i'll probably just take the assignment, i don't particularly mind taking on a CBA position at this point, after having my last position called away at the same $100 back in march.

might even sell some more puts at a $92 strike in the coming days, as that looks a reasonable support level and those elevated vols (around 26) on the jul contracts look tempting. though retaining a bit more dry powder is also tempting!

if reports that the majority of homeowners are ahead on their repayments are to be believed, i think the banks should be fine and the rising rates should in theory help them widen their margins somewhat. i could of course be wrong though.

Telamelo · 10 August 2022

NAB making $20 million net profit per day! however it's shares fell almost -4% yesterday.. apparently any business only making $20M net profit per day should be ashamed of themselves.

This morning CBA declared $9.6 billion net profit! with a fully franked dividend payable of $2.10 per share..

P.S. Gotta love the big4 banks as they manipulate governments & the economy in taking advantage of screwing mortgage holder's whilst ripping off people with savings accounts/term deposits etc. Capitalism/greed at it's best in exploiting the most vulnerable in society.

divs4ever · 10 August 2022

Telamelo said:
P.S. Gotta love the big4 banks as they manipulate governments & the economy in taking advantage of screwing mortgage holder's whilst ripping off people with savings accounts/term deposits etc. Capitalism/greed at it's best in exploiting the most vulnerable in society.

and for just straight out investment gymnastics there is MQG

GO MQG ( i hold MQG 'free-carried ' .. my largest holding )

Telamelo · 10 August 2022

divs4ever said:
and for just straight out investment gymnastics there is MQG

GO MQG ( i hold MQG 'free-carried ' .. my largest holding )

MQG offer best 1 yr term deposit rate of 3.3% by the way compared with only 2.2% from CBA

divs4ever · 10 August 2022

Telamelo said:
MQG offer best 1 yr term deposit rate of 3.3% by the way compared with only 2.2% from CBA

i know , there is some cash sitting waiting to be used for a building project with them

interesting times ahead

i wonder how the banks will cope with a CBDC ( after all they will either become regime lackeys or completely irrelevant )

if you own nothing and rent everything most of the banks investing strategies will be kaput ( and of course only the central banks will be allowed to create money/credit/

Anyone buying banks yet?

dyna

frugal.rock

qldfrog

KevinBB

peter2

Sean K

Moderator

KevinBB

Sean K

Moderator

KevinBB

peter2

sptrawler

sptrawler

Craton

Mostly passive, contrarian.

peter2

Telamelo

Sharkman

Telamelo

divs4ever

Telamelo

divs4ever

Similar threads

Anyone buying banks yet?

Moderator

Moderator

Mostly passive, contrarian.

Similar threads

Privacy & Transparency

Privacy & Transparency