Commonwealth Bank of Australia (ASX: CBA) is handily beating the S&P/ASX 200 Index (ASX: XJO) in afternoon trade. CBA shares are up 0.9% compared to a 0.5% gain for the ASX 200.
Today's outperformance was mirrored in October.
Last month CBA shares gained 0.3%, closing October at $104.68. The ASX 200 went the other way, losing 0.1% for the month.
What happened with CommBank's share price in October?
In the middle of the month, the bank held its annual general meeting (AGM).
Addressing CBA shareholders, chairman Catherine Livingstone underlined the $6.2 billion in dividends the bank paid during the 2021 financial year.
And she pointed to the fact that CBA shareholders received another $6 billion from the bank's off-market share buyback.
Livingstone also highlighted CommBank's healthy profit margins. "Cash net profit after tax was up 19.8% on the prior year, reflecting an improvement in economic conditions, and the strong operating performance of our core banking businesses," she said.
CBA shares receive conflicting broker forecasts
ASX investors looking for guidance from brokers received some widely conflicting forecasts for the outlook for CBA shares.
Bell Potter came out with a bullish outlook for CommBank for the full 2022 financial year. Bell Potter's analysts forecast a 9.6% year-on-year increase in the bank's full-year cash profit for FY22. The analysts also predict a 16% lift in CBA's FY22 dividend payout. Bell Potter listed a price target of $118 per share.
On the other side of the coin, Morgans had a very bearish outlook for CommBank, with a price target of $80. At the current price of $109.58 per share, that implies a share price fall of some 27%.
Later in October, Morgan Stanley joined the bearish bandwagon. The broker had a sell rating on CBA shares, with a price target of $90 over the next 12 months.
How have CBA shares performed longer term?
That's the snapshot for October.
Longer-term, CBA shares are up 57% over the past 12 months, compared to a gain of 22% posted by the ASX 200.
Year-to-date the CommBank share price is up 31%.
