Australia Stock Alert

AUSTR

CLOSING UPDATE: Westpac Banking lifts 2.8% on firm volume June 20, 2018 16:00:00 AEST

NEWS BITES - AUSTRALIA

This is an end of day Alert, produced after today's Australian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Westpac Banking, Australia's 2nd largest bank by market capitalisation, traded on heavy volume of 1.2 times average today while the price lifted 79.0c (or 2.8%) to trade at $A28.87. Compared with the All Ordinaries Index which rose 65.7 points (or 1.1%) in the day, this represented a relative price increase of 1.8%.

Technical indicators complementing today's significant uptrend:

+ The price climbed 5.2% in the last week and increased 0.8% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Return on Assets 0.9% [0.8%]

Other Bullish Signals include:

+ Tobin's Q Ratio is 0.1. Compared with the rest of the market the stock is undervalued and ranks in the top 1% of stock by value of Q Ratio.

+ Net profit margin has averaged 24.7% in the last 3 years. This is considered superior and suggests a high margin of safety.

+ The Brand Value represents 6.8% of the estimated Enterprise Value of $A81.9 billion.

+ As per the Du Pont analysis, Return on Equity of 13.0% is better than sector average of 12.3%.

Note

Westpac Banking today is at a discount of 9.0% to the 12-month high of $A31.71 on 20 Oct, 2017. It is at a premium of 8.0% to the 12-month low of $A26.74 on 27 Apr, 2018.

The stock has underperformed 50% of the Australian market over the past 6 months.

Bearish Signals:

The negative 0.04 MACD (Moving Average Convergence Divergence) indicator suggests a bearish signal.

In the last three months the stock has hit a new 52-week low five times, pointing to a downtrend.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

Dividend yield of 6.5% [8.3%]

TODAY'S ALERTS

Afternoon Alert: Westpac Banking lifts 2.1%, leads market higher

June 20, 2018 13:00:00 AEST

Westpac Banking Corporation (ASX:WBC) has lifted 2.1% to trade at $A28.67 vs. the All Ordinaries Index which strengthened 47.1 points (or 0.8%) to 6,255.9. Representing a weighting of about 4.7% of the index, the stock accounted for 12.9% of today's gain. The shares have outperformed 83% of the market in the past week.

Morning Alert: Westpac Banking increases 1.5%, leads market higher

June 20, 2018 11:00:00 AEST

Westpac Banking Corporation (ASX:WBC) has increased 1.5% to trade at $A28.50 vs. the All Ordinaries Index which strengthened 32.4 points (or 0.5%) to 6,241.2. Representing a weighting of about 4.6% of the index, the stock accounted for 13.4% of today's gain. The shares have outperformed 81% of the market in the past week.

RECENT ALERTS

CLOSING UPDATE: Westpac Banking up 3.0% in 2 days

June 18, 2018 16:00:00 AEST

Westpac Banking, Australia's 2nd largest bank by market capitalisation, extended its gains on Monday, rising an additional 24.0c (or 0.9%) to trade at $A28.13. Trading volume was 60% of average at the end of the day. The shares have risen 81.0c (or 3.0%) over the past two trading days vs. the All Ordinaries Index which has risen 1.4% in the same period.

Afternoon Alert: Westpac Banking up 2.9% in 2 days

June 18, 2018 13:00:00 AEST

Westpac Banking Corporation (ASX:WBC) extended its gains on Monday, rising an additional 22.50c (or 0.8%) to trade at $A28.11. The shares have risen 79.50c (or 2.9%) over the past two trading days vs. the All Ordinaries Index which has risen 1.2% in the same period.

Westpac Banking Corporation (AU:WBC; ASX:WBC; AX:WBC)

ISIN: AU000000WBC1

PermID: 4295856193

Source: www.BuySellSignals.com