ANZ.NZX - Anyone holding?

[macduffy]

Wow, so the bank only makes 3.4B rather than the expected 3.5B and the market throws a tantrum. So childish.

Several reasons, I think.

- There'd been a fair bit of talk in the Aussie media about ANZ being the best of the breed at present and that it "might surprise on the up-side" with its profit announcement. So, another case of expectations getting ahead of reality as shown by the strong shareprice over recent weeks.

- Net interest margin was down slightly, again. That's been the trend for a while now and is hard to budge while rates remain low.

- The profit benefitted from lower provisions and better bad debt recoveries - not seen as a particularly reliable source of future contributions to profit.

Overall verdict, steady but not spectacular.

[Bobdn]

Yes, true. The stock did have a big run up of 40 per cent over the last year, not counting dividends. I guess it's not that cheap anymore.

[BlackPeter]

Wow, so the bank only makes 3.4B rather than the expected 3.5B and the market throws a tantrum. So childish.

Well, you need to put that into perspective. SP is still well above the MA30 and any other relevant MA - not sure I would call that "tantrum". It is just some speculators exiting who expected the result to be better than expectations (if this makes sense ...)

[Bobdn]

Brutal two days , down a cool 16k. The good news is 1) DRP is just around the corner 2) There's some talk of a share buy back.

[BlackPeter]

Brutal two days , down a cool 16k. The good news is 1) DRP is just around the corner 2) There's some talk of a share buy back.

OK - if it breaks the MA 100 (A$30.92) I might become nervous. At this stage it looks to me still like the normal uptrend pattern (with 2 previous dips down to the MA100. Might be just this time again and offer good buying opportunities?

[Bobdn]

Thanks for the info BP. I'll hang in there at this stage and see what happens. If the bank does have enough cash to buy back shares, things might work out well over the next few years.

[peat]

slightly wonky but level perfect bearish gartley is what i see
Attachment 8827

[macduffy]

FWIW, both ANZ and Westpac shareprices have dropped in May in twelve of the last thirteen years. Probably a combination of over expectation, profit-wise, and the ex-div effect later in the month.

[Bobdn]

Yeah, apparently it's a thing. This guy Richard Coppleson, reported in the SMH, said best to sell now and buy later in the year. He expects all banks' share prices to be higher by the end of the year.

I'm just staying put, XD on Monday and I'm in the DRP. Buy sell buy sell, it all becomes too exhausting.

[theace]

Whats the Divi?