The Australia and New Zealand Banking Group (ASX: ANZ) share price has been a very strong performer over the last 10 weeks.
Since Christmas Eve the banking giant's shares have rallied an incredible 19%.
Why is the ANZ share price up 19% in just 10 weeks?
The main catalyst for this share price gain was the Royal Commission final report release last month.
Investors had sold off ANZ, Commonwealth Bank of Australia (ASX: CBA), National Australia Bank Ltd (ASX: NAB), and Westpac Banking Corp (ASX: WBC) shares last year due to concerns that the final report could contain recommendations that make life incredibly difficult for the banks.
But thankfully for bank shareholders, the recommendations were nowhere near as severe as many had feared. As a result, investors returned to the banks in their droves, driving their shares notably higher again.
Is it too late to buy ANZ shares?
Whilst its shares are certainly not the bargain buy that they were on Christmas Eve, I still see a lot of value in them at the current level.
As do analysts at Goldman Sachs. A note out of the investment bank last month reveals that Goldman still has ANZ on its conviction buy list with a price target of $29.42.
This price target implies a potential return of 5.6% over the next 12 months excluding dividends. This potential return increases to approximately 11.5% if you include the 161 cents per share fully franked dividend that Goldman expects the bank to pay this year.
According to the note, the broker is bullish on ANZ due to its belief that it is the best positioned major bank to face into the sector's slowing revenue environment.
I agree with this view and believe it is the best bank to buy right now, closely followed by NAB.
