The Bendigo and Adelaide Bank Ltd (ASX: BEN) share price finished flat on Friday at $8.66 apiece.
After a tremendously volatile year on the charts, share price distribution has whipsawed to highs of $10.78 and lows of $7.79 just last month.
As seen in the chart below, the Bendigo Bank share price is down almost 5% this year to date.
Bendigo Bank share price versus peers
Comparatively, Bendigo has performed on par with the other ASX banking majors over the 12 months to date.
As seen in the chart below, there's been a gradual decline in the entire basket, resulting in heavy losses in all but National Australia Bank Ltd (ASX: NAB).
In terms of financials, the bank has some interesting points to comment on. For example, its net income margin is below the banking major's median score, as seen below. The same is true for return on equity (ROE), which is also below the median score for its peers.
However, it is valued at a discount to peers in trading at a price-to-earnings (P/E) ratio of 11.6 times, and a price-to-book (P/Book) ratio of 0.73 times (compared to 14.5 and 1.18 times respectively).
As such, Bendigo's performance with respect to financials is balanced.
| Company Name | P/E | ROE % | Debt to Equity | P/Book | Net income margin |
| Bendigo and Adelaide Bank Ltd (ASX: BEN) | 11.16 | 7.5% | 196.9% | 0.73 | 30.0% |
| Bank of Queensland Limited (ASX: BOQ) | 13.21 | 6.6% | 274.3% | 0.74 | 25.9% |
| Australia and New Zealand Banking Group Ltd (ASX: ANZ) | 11.59 | 10.9% | 207.9% | 1.18 | 35.2% |
| Commonwealth Bank of Australia (ASX: CBA) | 18.61 | 12.8% | 250.8% | 2.35 | 41.5% |
| National Australia Bank Ltd (ASX: NAB) | 15.93 | 11.1% | 310.2% | 1.68 | 40.2% |
| Westpac Banking Corp (ASX: WBC) | 17.46 | 7.4% | 279.8% | 1.19 | 26.1% |
| Median | 14.57 | 0.09 | 2.63 | 1.18 | 0.33 |
What about in terms of analyst coverage? According to Refinitiv Eikon data, a total of 4 out of 14 analysts rate it a buy right now.
The amount of buy calls is actually up from just 1 back in August. Whereas the consensus Bendigo Bank price target from this list is $9.50, a small portion of upside from the current market price.
There are certain headwinds that are unavoidable for all of the banking majors on a forward-looking basis.
Chief to these remains surging interest rates and the pull-through effect from these onto a bank's net interest income and net interest margin.
All the banks are set to feel the pinch. This is due to the concentrated state of the Australian mortgage market, and fierce competition between lenders keeping a clamp on borrowing rates.
This has been reflected in the shares of the banking majors for 2022. For Bendigo, despite an early rally from January–May, its share price is still in deep drawdown and has ways to go before reaching its previous high.
Over the past 12 months, the Bendigo Bank share price is down 8%.
