Up 11% in two weeks. What's been driving the Bendigo Bank (ASX:BEN) share price lately?

Here's what's been boosting the bank's stock lately.

Key points
  • The Bendigo Bank share price has grown from $9.05 to $10.10 over the last 2 weeks to best both the broader market and other major ASX retail banks
  • Also in that time, the bank released its earnings for the first half of financial year 2022
  • While analyst opinions regarding its half year performance were mixed, the market has seemingly been impressed

The Bendigo and Adelaide Bank Ltd (ASX: BEN) share price has been on the up-and-up these last few weeks.

In fact, it's the best performing major S&P/ASX 200 Index (ASX: XJO) banking stock of the last fortnight, boasting an 11.6% gain.

At the time of writing, Bendigo Bank's shares are trading at $10.10, having gained another 0.15% today.

For context, the ASX 200 is currently up 0.2% while the All Ordinaries Index (ASX: XAO) has gained 0.3%.

Let's take a look at what's been driving the ASX 200 retail bank's stock lately.

Happy man at an ATM.

Image source: Getty Images

Why is the Bendigo Bank share price outperforming lately?

The Bendigo Bank share price has grown from $9.05 at the ASX's close on Tuesday 8 February to trade at $10.10 today.

Only the share price of National Australia Bank Ltd. (ASX: NAB) has come close to recording such a gain. It's boomed 7.8% over the last 14 days.

Looking at the broader market, the Bendigo Bank share price's moves are even more impressive. The S&P/ASX 200 Financials Index (ASX: XFJ) has gained just 2% in that time, while the ASX 200 is trading relatively flat.

So, what's been driving the bank's stock higher? Well, Bendigo Bank dropped its earnings for the first half of financial year 2022 early last week, sending its share price surging 4.4% on the day of the release.

Over the 6 months ended 31 December 2021, the bank's statutory net profits surged 31.7% while its revenue increased 8.5% on those of the first half of financial year 2021.

It was residential lending that spurred its impressive earnings. It grew by 8.4% over the period, compared to 7.6% system growth.

While the market was seemingly happy with the bank's results, brokers responded with mixed reactions.

As The Motley Fool Australia's Zach Bristow reported, analysts at JP Morgan were concerned about the bank's cost cutting targets.

Meanwhile, those at Barclay were extra bullish on the bank's stock following its earnings.

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 owns and has recommended Bendigo and Adelaide Bank Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Bank Shares

Happy young woman saving money in a piggy bank.
Bank Shares

If I invest $10,000 in ANZ shares, what passive income could I receive in FY27?

Are you invested into ANZ shares? Here's what you could earn.

Read more »

Four business people wearing formal business suits and ties walk abreast on a wide paved surface with their long shadows falling on the ground ahead of them.
Bank Shares

Are ASX 200 bank stocks a buy in October?

Find out what analysts are forecasting for bank shares over the next 12 months.

Read more »

A woman wearing a yellow shirt smiles as she checks her phone.
Bank Shares

Commonwealth Bank vs ANZ: Which is better for passive income?

Which ASX banking giant delivers better passive income: Commonwealth Bank or ANZ? Let’s stack up their dividends, franking and recent…

Read more »

Bank building with the word bank in gold.
Bank Shares

Here's the dividend forecast out to 2028 for Westpac shares

How much dividend income can investors bank on in the years ahead?

Read more »

Happy young couple saving money in piggy bank.
Bank Shares

Why I'd buy NAB shares in October

I take a closer look at why I would be comfortable adding this ASX bank share in October.

Read more »

Smiling man paying for his order from his phone on an EFTPOS machine at a restaurant.
Bank Shares

Should I buy CBA shares in October?

I look at the valuation, earnings forecasts, and dividend outlook before deciding what I would do next.

Read more »

Senior woman relaxing in a hammock with an e-book on her tablet.
Bank Shares

NAB vs ANZ: Which big four bank is the better passive income stock?

NAB and ANZ both pay steady dividends — but here’s which bank I’d buy for income today.

Read more »

Person writing notes with a piggy bank, calculator, and an ascending pile of coins on the table.
Bank Shares

Buying CBA shares? Here's the dividend yield you'll get today

CBA's dividend yield is on the rise.

Read more »