Insights

How did the Westpac (ASX:WBC) share price perform in October?

How did the bank’s shares travel last month?
The post How did the Westpac (ASX:WBC) share price perform in October? appeared first on The Motley Fool Australia. –

The Westpac Banking Corp (ASX: WBC) share price had a relatively uneventful month of October. The company’s shares continued to tread close to its 52-week high of $27.12, before plummeting on 1 November.

At Wednesday’s closing bell, the bank’s shares began to recoup some losses by edging 0.09% higher to $23.15.

How did Westpac shares fare in October?

Investors remained undecided during October as Westpac shares went through a horizontal channel. This came despite the company releasing a price-sensitive market announcement advising of notable items affecting its second-half profit.

The news appeared to barely both shareholders, with Westpac shares falling just 1.65% that day to $25.63.

For the month, the bank’s shares dipped just under 1%, which fared worse than the S&P/ASX 200 Index (ASX: XJO). The benchmark index rose by 2% in value over the period.

However, while last month seemed quiet, the company’s release of its full-year results on November 1 had a detrimental impact on its shares.

Westpac revealed a step in the right direction with increases across key metrics. But the financial scorecard missed the mark with investors who were expecting more. This led the company’s shares to sink 7.36% to $23.78 apiece.

In addition, Australia’s oldest bank stated that it is conducting a $3.5 billion off-market share buyback.

What do the brokers say?

Following the FY21 results, a number of brokers weighed in on the company’s share price.

Analysts at Morgan Stanley downgraded their outlook to an “equal weight” rating from “overweight” for the Westpac share price. The broker cut its price target by 14% to $24.80.

Goldman Sachs also reassessed their rating, reducing the view on Westpac shares by 11% to $25.60. Based on the current share price, this implies an upside of approximately 10%.

The most recent note came from multinational investment bank, Bell Potter. The firm discounted Westpac shares by 4.1% to a 12-month price target of $26.

Westpac share price summary

Over the past 12 months, the Westpac share price has gained around 30% in value. It is also up by about 20% this year to date. Although, when looking over a 5-year time frame, Westpac shares are down by more than 20%.

Westpac has a price-to-earnings (P/E) ratio of 21.98 and commands a market capitalisation of roughly $87.24 billion.

The post How did the Westpac (ASX:WBC) share price perform in October? appeared first on The Motley Fool Australia.

Should you invest $1,000 in Westpac right now?

Before you consider Westpac, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Westpac wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of August 16th 2021

More reading

Top brokers name 3 ASX shares to buy today

What these leading brokers are saying about the Westpac (ASX:WBC) share price

Westpac (ASX:WBC)’s had a shocker: This is when to buy

Here are the 3 most heavily traded ASX 200 shares so far on Tuesday

Why Ingenia, IAG, Vulcan, and Westpac shares are dropping

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!