Latest news with #WestpacBanking
Business Insider
4 days ago
- Business
- Business Insider
Ord Minnett Remains a Sell on Westpac Banking (WEBNF)
In a report released today, from Ord Minnett maintained a Sell rating on Westpac Banking, with a price target of A$30.00. The company's shares closed yesterday at $23.00. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. In addition to Ord Minnett, Westpac Banking also received a Sell from Morgans's Nathan Lead in a report issued today. However, yesterday, UBS maintained a Buy rating on Westpac Banking (Other OTC: WEBNF). The company has a one-year high of $23.28 and a one-year low of $16.30. Currently, Westpac Banking has an average volume of 3,277. Based on the recent corporate insider activity of 10 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of WEBNF in relation to earlier this year.
Business Times
5 days ago
- Business
- Business Times
Westpac profit grows 5% on margin lift and higher lending
[SYDNEY] Australia's Westpac Banking on Thursday (Aug 14) said wider margins and lending and deposits gains helped it post slightly higher third-quarter profit, sending its shares surging more than 5 per cent. The country's third-largest bank by market value reported a net profit of A$1.9 billion (S$1.6 billion) for the three months to June 30, 5 per cent higher than the A$1.8 billion a year earlier. Westpac's net interest margins, the spread between interest earned from loans and paid to depositors, came in at 1.99 per cent in the quarter, compared with 1.92 per cent a year ago. Net interest income was A$5 billion in the quarter, up 4 per cent from the quarterly average in the first half. Customer deposits grew by A$10 billion during the quarter, while gross loans jumped by A$16 billion, the bank said in a trading update. Westpac shares rose to A$35.66 to trade at their highest point in a decade. The bank's shares are up 4.9 per cent so far this year and have risen nearly 20 per cent in the past year. Australian banking stock valuations, led by Commonwealth Bank, have soared in the past year on the back of increased foreign investor demand and are considered among the most highly valued in the world. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Contribution from Westpac's treasury and markets segment also climbed sharply from a year ago, helped by a favourable interest-rate environment. The Reserve Bank of Australia has cut its key cash rate by a total of 75 basis points this year, including a 25-basis-point reduction this week. 'The resilience of both households and businesses has been aided by the reduction in interest rates and the moderation of inflation,' said CEO Anthony Miller. 'This is reflected in lower levels of customer stress. It should also underpin a recovery in private sector activity and support lending growth.' Miller, who took over as CEO in December, has since focused on cutting costs and streamlining operations and technology under a strategy dubbed UNITE. Quarterly expenses rose, driven by higher salaries and wages and a planned boost in investment for the program. Late mortgage repayments fell three basis points from a year earlier, the bank added. The results follow Commonwealth Bank of Australia's report on Wednesday of its strongest annual cash earnings. The second-largest lender National Australia Bank is set to report its third-quarter earnings next week. REUTERS
Yahoo
28-07-2025
- Business
- Yahoo
Westpac Banking's (ASX:WBC) earnings growth rate lags the 20% CAGR delivered to shareholders
Generally speaking the aim of active stock picking is to find companies that provide returns that are superior to the market average. And the truth is, you can make significant gains if you buy good quality businesses at the right price. To wit, the Westpac Banking share price has climbed 93% in five years, easily topping the market return of 45% (ignoring dividends). On the other hand, the more recent gains haven't been so impressive, with shareholders gaining just 21%, including dividends. While the stock has fallen 3.7% this week, it's worth focusing on the longer term and seeing if the stocks historical returns have been driven by the underlying fundamentals. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). During five years of share price growth, Westpac Banking achieved compound earnings per share (EPS) growth of 8.4% per year. This EPS growth is lower than the 14% average annual increase in the share price. This suggests that market participants hold the company in higher regard, these days. And that's hardly shocking given the track record of growth. You can see how EPS has changed over time in the image below (click on the chart to see the exact values). We consider it positive that insiders have made significant purchases in the last year. Having said that, most people consider earnings and revenue growth trends to be a more meaningful guide to the business. This free interactive report on Westpac Banking's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further. What About Dividends? It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. We note that for Westpac Banking the TSR over the last 5 years was 152%, which is better than the share price return mentioned above. The dividends paid by the company have thusly boosted the total shareholder return. A Different Perspective We're pleased to report that Westpac Banking shareholders have received a total shareholder return of 21% over one year. And that does include the dividend. That's better than the annualised return of 20% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Consider for instance, the ever-present spectre of investment risk. We've identified 2 warning signs with Westpac Banking (at least 1 which can't be ignored) , and understanding them should be part of your investment process. There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Australian exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Straits Times
15-07-2025
- Business
- Straits Times
Australia's consumer sentiment edges up despite central bank rate shock: Survey
Find out what's new on ST website and app. Sentiment advanced by 0.6 per cent to 93.1 points, a Westpac Banking survey showed July 15. Australia's consumer confidence edged higher in July as households' assessment of their financial position improved even after the Reserve Bank shocked markets by keeping interest rates unchanged. Sentiment advanced by 0.6 per cent to 93.1 points, a Westpac Banking survey showed July 15, meaning pessimists persist in outweighing optimists with a dividing line of 100. 'Australia's consumer sentiment recovery experienced another 'false start',' said Westpac's head of Australian macro forecasting Matthew Hassan. 'While the mood improved a touch for the month as a whole, responses over the survey week show a clear disappointment following the RBA's surprise move.' Households polled before the rate decision reported an index reading of 95.6 while those surveyed after it reported an index read of 92, Westpac said. The RBA has lowered borrowing costs twice in 2025 and wrong-footed investors a week ago when it kept the cash rate at a two-year low of 3.85 per cent, rather than cut. Governor Michele Bullock said the difference with the market was one of timing rather than direction, suggesting further easing is likely. Traders are currently pricing two more rate cuts in 2025 with a slight chance of a third. 'Assessments of family finances improved for the survey overall but showed a sharper pull-back following the RBA decision,' Westpac's Hassan said. 'Indeed, even with the RBA's July surprise, consumers have become slightly more confident that interest rates will continue to move lower over the next year.' Top stories Swipe. Select. Stay informed. Business 'Some cannot source outside China': S'pore firms' challenges and support needed amid US tariffs Multimedia From local to global: What made top news in Singapore over the last 180 years? World Trump arms Ukraine and threatens sanctions on countries that buy Russian oil Singapore Turning tragedy into advocacy: Woman finds new purpose after paralysis Opinion Sumiko at 61: Everything goes south when you age, changing your face from a triangle to a rectangle Sport World Aquatics C'ship women's 10km open water swimming event delayed by a day due to water quality Singapore HSA intensifies crackdown on vapes; young suspected Kpod peddlers nabbed in Bishan, Yishun Singapore Ex-cop charged after he allegedly went on MHA portal, unlawfully shared info with man In Australia, where consumption accounts for about half of the economy, households' attitudes toward purchases are closely monitored by policymakers. Other key data points: The family finances vs a year ago sub-index climbed 5 per cent The 'family finances next 12 months sub-index posted a milder 2.6 per cent gain to 101.4, nudging back into net positive The time to buy a major item sub-index declined 2.6 per cent to 97.6, partly unwinding last month's 7.5 per cent surge The Westpac–Melbourne Institute Unemployment Expectations Index rose 1.1 per cent to 128.7 in July – a higher reading means more consumers expect unemployment to increase over the year ahead Westpac noted that while consumers are not fearful of job losses, the reading is broadly consistent with a flat rather than firming labour market BLOOMBERG
Business Insider
30-05-2025
- Business
- Business Insider
Westpac Banking (WEBNF) Gets a Sell from J.P. Morgan
J.P. Morgan analyst Andrew Triggs maintained a Sell rating on Westpac Banking (WEBNF – Research Report) today and set a price target of A$28.50. The company's shares closed yesterday at $20.20. Confident Investing Starts Here: Triggs covers the Financial sector, focusing on stocks such as Macquarie Group Limited, ANZ Group Holdings, and National Australia Bank Limited. According to TipRanks, Triggs has an average return of 3.1% and a 51.58% success rate on recommended stocks. The word on The Street in general, suggests a Moderate Sell analyst consensus rating for Westpac Banking with a $18.59 average price target, which is a -7.97% downside from current levels. In a report released on May 26, Jarden also maintained a Sell rating on the stock with a A$30.00 price target.
