ANZ - ANZ Banking Group

[sptrawler]

ANZ suspends interim dividend after 60% drop in profits.

https://www.smh.com.au/business/ban...0-p54ohl.html?js-chunk-not-found-refresh=true

I don't hold, fortunately.

 

[Dona Ferentes]

ANZ paid a dividend of 80 cents per share at the same time last year, but with earnings per share down at 50 cents, the bank's board has deferred a decision on how much to pay out to shareholders until it knows more about how the COVID-19 pandemic will play out.

However, ANZ's chairman David Gonski said the decision to defer the payment was "not about our current financial position and ANZ has not received any concerns from [bank regulator] APRA regarding our level of capital". "The board agrees with the regulator's guidance that deferring a decision on the 2020 interim dividend is prudent given the present economic uncertainty and that making a decision at this time would not have been appropriate," he said.

- and some are seeing this as a swipe at NAB, which paid a (reduced) dividend and then went ahead and raised capital

 

[InsvestoBoy]

Just like NAB, most of the hit to profits is from announced "impairment charges", i.e. money they are putting aside as reserve for loans or other business they expect to go sour.

They didn't actually lose the money (yet).

Cash profit was still $1.41 BILLION dollars for a half year, all said and done.

 

[So_Cynical]

15 year chart below, ANZ has been a very ordinary investment - very ordinary, under performing and in fact impacting the broader indexes negatively.
15 years of sideways price action, i suppose one could blame the high dividend payout, and the failed expansion plans, mortgage saturation.
~

 

[UMike]

That's why I sell and buy on peaks and troughs.

Got a low ball nibble offer atm.

 

[sptrawler]

15 year chart below, ANZ has been a very ordinary investment - very ordinary, under performing and in fact impacting the broader indexes negatively.
15 years of sideways price action, i suppose one could blame the high dividend payout, and the failed expansion plans, mortgage saturation.
~
View attachment 108918

One would assume WBC and NAB don't look much different.

 

[So_Cynical]

One would assume WBC and NAB don't look much different.

I haven't looked but i imagine similar, throw in all the insurance stocks too, AMP, SUN, IAG, QBE all very ordinary 15 year investments.

 

[UMike]

Pretty sure WBC and AMP has fared markedly worse.

I held onto WBC too long and showing a fair bit of red there.

 

[Sharkman]

NAB has been by far the worst, especially if you go back to around 2003 or so, before the forex scandal broke. that forex scandal was a major hit to their reputation i think, the disastrous foray into UK banking didn't help either. even looking back to 2006 and roughly eyeballing it, NAB seems to have performed worse than ANZ + WBC. their div payouts have been slightly higher though.

i remember back around 2004 that the NAB share price used to be higher than CBA (or at least jockeying with it), and look at them now. CBA is the clear outperformer of the big 4 since then.

 

[sptrawler]

NAB has been by far the worst, especially if you go back to around 2003 or so, before the forex scandal broke. that forex scandal was a major hit to their reputation i think, the disastrous foray into UK banking didn't help either. even looking back to 2006 and roughly eyeballing it, NAB seems to have performed worse than ANZ + WBC. their div payouts have been slightly higher though.

i remember back around 2004 that the NAB share price used to be higher than CBA (or at least jockeying with it), and look at them now. CBA is the clear outperformer of the big 4 since then.

What is really funny is how they are always held up as the ones killing the pig, when in reality they dont outperform the index, bank bashing is just another soft target.
Everyone hates the banks when they are doing well, which usually is when people are borrowing to speculate, then demand the banks cut them a lot of slack when everything turns to $hit.
It is very hard to run a business with that criterea.lol
Meanwhile the miners quitely strip the resources in ever increasing volumes and they are cheered on, it is a weird world we live in.
Everyone is more worried about what is happening in the U.S, than what is happening in Australia.

 

[tinhat]

What is really funny is how they are always held up as the ones killing the pig, when in reality they dont outperform the index, bank bashing is just another soft target.
Everyone hates the banks when they are doing well, which usually is when people are borrowing to speculate, then demand the banks cut them a lot of slack when everything turns to $hit.
It is very hard to run a business with that criterea.lol
Meanwhile the miners quitely strip the resources in ever increasing volumes and they are cheered on, it is a weird world we live in.
Everyone is more worried about what is happening in the U.S, than what is happening in Australia.

SP, the big four are financing their dividends through borrowing money from the RBA for free. That's no way to run a business.

 

[sptrawler]

SP, the big four are financing their dividends through borrowing money from the RBA for free. That's no way to run a business.

Most of them arent paying much of a dividend or no dividend, but they are allowing people not to make payments on loans.
It isnt a business if they dont make money.
Extrapolating that out, the RBA and the government want to reduce interest rates, so the banks have to reduce profits, but have to lend money, but if the rates are dropped they have to reduce them, but they have to offer fixed rates.
It is a weired business model, wish I hadnt bought in. Lol
Meanwhile the opposition forced a super profits tax on them, magic, power of the media yet again IMO.
Im sure eventually we will thrash ourselves into a third world nation, but we will be able to look everyone in the eye and say, we deserved it.lol

 

[tinhat]

Most of them arent paying much of a dividend or no dividend, but they are allowing people not to make payments on loans.
It isnt a business if they dont make money.
Extrapolating that out, the RBA and the government want to reduce interest rates, so the banks have to rsduce profits, but have to lend money, but if the rates are dropped they have to reduce them, but they have to offer fixed rates.
It is a weired business model, wish I hadnt bought in. Lol

SP, it was a great business model. I yelled from the mountain top to buy bank shares post GFC. Feb 2020 for the first time ever I and m

Most of them arent paying much of a dividend or no dividend, but they are allowing people not to make payments on loans.
It isnt a business if they dont make money.
Extrapolating that out, the RBA and the government want to reduce interest rates, so the banks have to reduce profits, but have to lend money, but if the rates are dropped they have to reduce them, but they have to offer fixed rates.
It is a weired business model, wish I hadnt bought in. Lol
Meanwhile the opposition forced a super profits tax on them, magic, power of the media yet again IMO.

Nothing is forever. The river always flows. I wish I had given you shout when I came over to Perth earlier in the year. Next time.

 

[tinhat]

sorry about that last post, but I am on the fraudband so I never know when the phone line and NBN will cut out. No mobile reception here. I just found out that somehow I have been streaming Tchaikovsky's fifth symphony for a while now without actually listing to it, so we will give it a go. A rather young darkly frocked fellow is waiving a baton.

 

[sptrawler]

SP, it was a great business model. I yelled from the mountain top to buy bank shares post GFC. Feb 2020 for the first time ever I and m


Nothing is forever. The river always flows. I wish I had given you shout when I came over to Perth earlier in the year. Next time.

Yes I think I will have to move out of the banks, but I still think they have to be the backbone of the retirement portfolio.
At the end of the day, they really are the shop front for government fiscal policy, without them the government will struggle to control fiscal policy.
If that happens, then you dont have a government running your country, welcome to the third world borrowing money from shady sources.lol
Cant wait to see how welfare payments work out then.

 

[tinhat]

Don't bother with the dark frocked blonde. It's like the cheese that gets stuck in your upper gums. A bit like bank dividends. You think you are being patriotic but remember the night you were at Engadine Maccas? You didn't realise then, but now you do, that nothing of substance matters in politics, and all that matters in government is politics.

 

[tinhat]

Yes I think I will have to move out of the banks, but I still think they have to be the backbone of the retirement portfolio.
At the end of the day, they really are the shop front for government fiscal policy, without them the government will struggle to control fiscal policy.
If that happens, then you dont have a government running your country, welcome to the third world borrowing money from shady sources.lol
Cant wait to see how welfare payments work out then.

SP, it's not for me to call as I have been out of banks for a while and not looked at them for some time either, so my suggestion to you is to consider whether selling at the bottom is any wiser.

 

[sptrawler]

SP, it's not for me to call as I have been out of banks for a while and not looked at them for some time either, so my suggestion to you is to consider whether selling at the bottom is any wiser.

I did want to sell out of 35% back when they were $30, the other half said no, I then suggested buying afterpay at $10 in March, when the forum started the thread, the other half said no.lol
But I have remained married for 44 years, so I havent lost half of my gains, but have retained half the losses.lol
Im still much better off than my parents were, can still can help out the kids and am still on no welfare.
That is really funny because apparently both the wife and I could apply for jobseeker, both under 65 and not receiving anything. But that wouldnt be Australian, well not in the Australia I grew up in.lol

 

[tinhat]

I did want to sell out of 35% back when they were $30, the other half said no, I then suggested buying afterpay at $10 in March, when the forum started the thread, the other half said no.lol
But I have remained married for 44 years, so I havent lost half of my gains, but have retained half the losses.lol
Im still much better off than my parents were and still can help out the kids.

You know I hear you. Every time. I'm still listening to the Tchaikovsky Symphony 5 too. The way I see it if we can put clothes on our backs, shoes on our feet and feed ourselves an be happy (through art) then we can live. But we must have art and to have art we must love our environment for we were given only one world to live in and we must love that world beyond anything else, including money.

 

[sptrawler]

You know I hear you. Every time. I'm still listening to the Tchaikovsky Symphony 5 too. The way I see it if we can put clothes on our backs, shoes on our feet and feed ourselves an be happy (through art) then we can live. But we must have art and to have art we must love our environment for we were given only one world to live in and we must love that world beyond anything else, including money.

So true, everyone today is so busy being self indulgent, they dont appreciate that in the end all you have is memories of great times with loved ones and great friends, everything else was just a fleeting moment.
Everyone in the cementry is as rich as each other.
Must get back on topic.lol