It then rose 49% to peak at $21 last week. The large decline in profit and uncertainty caused by COVID-19 caused the ANZ board to defer the decision about the dividend to a later date. Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. If I were part of the bank’s leadership I’d consider a 50% dividend payout ratio. Warren Buffett once said some wise words for times like this: “Be fearful when others are greedy and greedy when others are fearful.” The market seems to be fearful with the ANZ share price, so perhaps it is a medium-term opportunity? The lower the official interest rate, the harder it is for banks to maintain their net interest margin (NIM). Sources: FactSet, Tullett Prebon, Commodities & Futures: Futures prices are delayed at least 10 minutes as per exchange requirements. COVID-19 still looms over the ASX banking sector. Can ASX big banks generate an attractive sustainable dividend yield from FY21? Change value during the period between open outcry settle and the commencement of the next day's trading is calculated as the difference between the last trade and the prior day's settle. Interestingly, the ANZ share price has fallen 12% from that post-crash high last week. ANZ is one of the Big Four Aussie banks and derives much of its revenue from mortgages, personal loans and credit. The stock rose 14.5% during the week, after Citigroup reiterated its buy rating on the company and said it believed the stock was worth $10. However, large fully franked dividends are a good way to reward shareholders. If the ANZ share price is to follow that same pattern, today's low price could represent a key opportunity for eager investors. The cost of jobkeeper was overestimated by $60 billion, which means the economy didn’t need as much support as first feared. Source: FactSet. The RBA interest rate is now 0.25%. ASX investors may have pushed the ANZ share price a little too far. Is it time to buy? Is the Australia and New Zealand Banking Group (ASX:ANZ) share price a buy? ANZ is already a large, mature business with a big market share of the mortgage market. 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The dividend was an alluring reason for income-focused investors to buy ANZ shares. Before the pandemic, ANZ had one of the strongest capital position of any of the big four banks thanks to the massive de-risking of its balance sheet. The Motley Fool has a disclosure policy. ANZ Share Investing customers can earn 1 Qantas Point per AU$3 spent on brokerage fees on shares, ETFs, interest rate securities, warrants and options by providing your Qantas Frequent Flyer number to ANZ Share Investing prior to trading. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Information warning: The information on this website is published by The Rask Group Pty Ltd (ABN: 36 622 810 995) is limited to factual information or (at most) general financial advice only. Unsubscribe anytime. Our analyst’s 7,500-word report, Our Ultimate BNPL Sector Report, takes a deep dive into the BNPL sector and shines a spotlight on each of the major players in this booming market. Former France goalkeeper Martini dies at 58, Biden and Big Tech Have Poland and Hungary in Their Crosshairs | Opinion, Jobs for workers under 20 are on the up. ASX 200 Weekly Wrap: ASX bears take control as market volatility returns, ASX 200 falls 1.9%, big 4 ASX banks retreat, 5 things to watch on the ASX 200 on Friday, ASX 200 drops 3%, Webjet share price sinks. (ANZ) share price, charts, trades & the UK's most popular discussion forums. It is not specific to you, your needs, goals or objectives. The Rask Group Pty Ltd is a Corporate Authorised Representative (#1280930) of AFSL #383169. Afterpay, Zip Co, Sezzle… is BNPL the opportunity of a lifetime? Because of that, you should consider if the advice is appropriate to you and your needs, before acting on the information. Free forex prices, toplists, indices and lots more. Super Retail, which owns Supercheap Auto, Rebel Sport and outdoor brands Rays and BCF, closed the week at $9.42. That means, the advice does not take into account your objectives, financial situation or needs. Source: FactSet, Indexes: Index quotes may be real-time or delayed as per exchange requirements; refer to time stamps for information on any delays. The Afterpay Ltd (ASX:APT) share price is rising after announcing the launch of savings accounts with the help of Westpac Banking Corp (ASX: WBC). Jaz is a keen investor who loves to thoroughly poke holes in an investment idea before it has a chance of making it into her portfolio. ANZ is one of the Big Four Aussie banks and derives much of its revenue from mortgages, personal loans and credit. That could be a fair balance between dividends and future growth. Instead of ANZ, I’m thinking about ASX shares like these top hot picks to produce good returns…, 3 "Double Down" Stocks To Ride The Bull Market. The Australia and New Zealand Banking Group (ASX: ANZ) share price is up around 7% today after the release of the Royal Commission Report. HelloFresh Offer Revealed: Get $90 Off Over Your Next 4 Deliveries Now! This article contains general investment advice only (under AFSL 400691). appeared first on Motley Fool Australia. Banks aren’t likely to charge customers for keeping cash in the bank, so a reduction of the official rate by 0.25% means less margin for the bank if it reduces the loan interest rate for borrowers. It’ll be interest to see what the ANZ board does. Terms, Financial Services Guide, Privacy Policy. Please read our Terms and Conditions and Financial Services Guide before using this website.