Australia and New Zealand Banking Group

Australian Banking Sector reporting season preview from Australian market analyst UBS.

Start scooping up banks. Mild overweight.

Recent price falls provide a buying opportunity:

The Aussie banks have seen a sharp pull back in recent weeks following their global peers. We believe that this has been driven by: (1) concerns for the health of the US investment banks into their reporting season; and (2) overhang from the current global bank rights issues. As a result the Australian banks have now underperformed the All Resources by 46% over the last year.

MRE aggressively downgraded Australian banking sector earnings in April this year following the March half-year reporting season.

Which Bank?

Here is an update on Australian Banking Sector from market analyst Macquarie Research Equities.

Credit growth, goodbye to the highs

April credit growth 0.4%: business 0.1%, personal 0%, housing 0.7%:

Here are the Macquarie Research Equities (MRE) highlights on some of the recent impacts experienced by the Australian Banking Sector.

Bank Opportunities

The Australian Banks outperformed the market by 3.3% last week, yet are still trading significantly below their November 2007 highs. Headlining recent developments in this area has been the proposed merger between WBC and SGB. Macquarie Research Equities (MRE) review the week in question and reaffirm their guidance for the sector. Click through to find out more…

Banking Sector Impacts

Here is an update on the Australian banking sector provided by Australian market analyst UBS.

Results and M&A - an eventful month

Reporting season surprised on the upside:

Macquarie Research Equities (MRE) highlighted some of the recent impacts experienced by the Australian Banking Sector.

Banking Sector – Westpac (WBC) Looks to Slay the Dragon

The Strain of rising interest rates, spiking inflationary pressure and low levels of consumer sentiment seemed to take its toll on the Aussie banks last week as they underperformed the market by 4.3%. Macquarie Research Equities (MRE) discusses the key highlights of the week and the implications for the sector. With the exclusivity period for the SGB merger ending, what’s next?

Here are the Macquarie Research Equities (MRE) highlights for some of the recent impacts experienced by the Australian Banking Sector.

Banking Sector – Westpac Banking (WBC) Looks to Slay the Dragon

Australia and New Zealand Banking Group (ANZ) has a neutral stock recommendation with a 12 month price target of $24.38 from sharemarket analyst Macquarie Research Equities.

Australia and New Zealand Banking Group (ANZ) – Wing Lung Deal and a Prayer?!

Westpac Banking (WBC) has a $25.90 share price target from Australian stock analyst Macquarie Research Equities.

Answering the $64bn question: 1 SGB = 1.31 WBC

Westpac Banking (WBC)/St George Bank (SGB) confirm terms: implies $33.10 p/SGB share ex 88cps div:

Key details: (1) WBC has a 2 wk exclusivity arrangement (2) EPS accretive in Yr3, although no synergies stated (3) key brands, branches and ATMs maintained (4) ACCC, APRA and Treasurer approval required (5) subject to no higher offer and independent expert report findings.

Westpac (WBC)stated that they are in a strong capital position and have no requirement for additional capital from stockmarket analyst Macquarie Research Equities.

Westpac Banking Corporation (WBC): Westpac Dividend Yield Play

It’s bank dividend season again, and WBC follows ANZ this year with a $0.70 fully franked dividend, going ex-div on Monday 19th May.