MENU

The ANZ share price is up 19% in just 10 weeks

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.

But if you're not keen on the banks, then check out these buy-rated dividend shares instead.

NEW! Top 3 Dividend Bets for 2019

With interest rates likely to stay at rock bottom for months (or YEARS) to come, income-minded investors have nowhere to turn... except dividend shares. That’s why The Motley Fool’s top analysts have just prepared a brand-new report, laying out their top 3 dividend bets for 2019.

Hint: These are 3 shares you’ve probably never come across before.

They’re not the banks. Not Woolies or Wesfarmers or any of the “usual suspects.”

We think these 3 shares offer solid growth prospects over the next 12 months. The first two currently offer fat, fully franked yields. The last is a surprising REIT offering you the benefits of being a landlord with none of the hassle! You’ll discover all three names and codes in "The Motley Fool’s Top 3 Dividend Shares for 2019."

Even better, your copy is free when you click the link below. Fair warning: This report is brand new and may not be available forever. Click the link below to be among the first investors to get access to this timely, important new research!

The names of these top 3 dividend bets are all included. But you will have to hurry. Depending on demand – and how quickly the share prices of these companies move – we may be forced to remove this report.

Click here to claim your free copy right now!

Motley Fool contributor James Mickleboro owns shares of Westpac Banking. The Motley Fool Australia owns shares of National Australia Bank Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…

Including:

The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!