At A$32.162 per share, ANZ (ASX: ANZ) appears reasonably valued based on its current operating performance. Cash earnings per share were 126.1 cents for the six months to 31 March 2026; annualising this figure implies approximately 252 cents per share and a price-to-earnings multiple of around 12.8 times. The most recent 83 cent interim dividend, together with the preceding 83 cent final dividend, represents a trailing cash yield of approximately 5.2% at the assessed price, before considering the partial franking credits.
ANZ reported half-year cash profit of A$3.78 billion, return on tangible equity of 11.6% and a Common Equity Tier 1 capital ratio of 12.39%. Net tangible assets of A$21.72 per share imply a price-to-net-tangible-assets ratio of approximately 1.48 times at the assessed price.
Importantly, this assessment is based primarily on the company’s existing earnings, capital position and dividend payments and does not assign significant value to further Suncorp Bank integration benefits, additional cost reductions, loan growth or future changes in net interest margins.
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The user Jamesiskindacool has a position in ASX:ANZ. Simply Wall St has no position in any of the companies mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The author of this narrative is not affiliated with, nor authorised by Simply Wall St as a sub-authorised representative. This narrative is general in nature and explores scenarios and estimates created by the author. The narrative does not reflect the opinions of Simply Wall St, and the views expressed are the opinion of the author alone, acting on their own behalf. These scenarios are not indicative of the company's future performance and are exploratory in the ideas they cover. The fair value estimates are estimations only, and does not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that the author's analysis may not factor in the latest price-sensitive company announcements or qualitative material.
