Why is the Bendigo Bank (ASX:BEN) share price outperforming the big 4 today?

Australia’s fifth largest retail bank is leading the sector today.

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The Bendigo and Adelaide Bank Ltd (ASX: BEN) share price is the best performer of its class today.

Right now shares in Bendigo Bank are trading for $10.36 – 1.47% higher than their previous close.

By comparison, the best performing big four bank is Commonwealth Bank of Australia (ASX: CBA). CBA shares are up 0.61% today, trading at $99.19 apiece.

Following closely is the Westpac Banking Corp (ASX: WBC) share price, 0.47% higher, trading at $25.49. The National Australia Bank Ltd. (ASX: NAB) share price is $26.20, representing a 0.46% gain.

Finally, shares in Australia and New Zealand Banking GrpLtd (ASX: ANZ) have gained just 0.4%, trading for $27.96 a share.

Let’s take a look at the latest news and what could be causing Bendigo Bank to lead the ASX 200 banking sector today.

Bendigo Bank for the win

Most recent news from Bendigo Bank

It’s been a quiet 2021 so far for Bendigo Bank. The last time we heard from Australia’s fifth largest retail bank was back in February, when it announced its half year results.

In these results Bendigo Bank reported that its earnings had started to recover from the COVID-19-induced recession. It recorded a total income growth of 3.3% and had brought in $849 million. Its statutory net profit also grew 67.3% to reach $243.9 million. 

The bank gave its shareholders a 28 cent fully franked dividend and reported its bad and doubtful debts had fallen 15.9%.

The day it released the results, the Bendigo Bank share price gained 10.1%. It also gained 7.9% the following day.

Could this be boosting the Bendigo Bank share price?

Perhaps spurring the Bendigo Bank share price today are reports that combined, the big four banks will close 350 branches over 2021.

According to the Australian Financial Review, the closures are due to reduced foot traffic resulting from the pandemic.

Bendigo Bank share price snapshot

It’s been a good 12 months for the Bendigo Bank share price.

Bendigo Bank shares have gained 51% since this time last year, and 11.16% since the start of 2021.

The bank has a market capitalisation of around $5.6 billion, with approximately 546 million shares outstanding.

Should you invest $1,000 in Bendigo Bank right now?

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Motley Fool contributor Brooke Cooper 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.

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