The Westpac Banking Corp (ASX: WBC) share price continues to sink following its half-year results blip.
The bank announced on Monday that its net profit after tax came in at $3.3 billion for the half.
That represents a decline of about 1% over the prior corresponding period.
And it appears the slight decline in profits didn't go down well with investors.
The Westpac share price has lost about 4.6% of its value since the start of the week, with the bank's shares now trading for around $31.90.
Westpac Chief Executive Officer Anthony Miller did not directly address the slight slump in profits in the bank's results announcement.
However, he did note that the bank's customers have endured significant cost-of-living challenges over the past few years and highlighted macroeconomic headwinds facing the economy.
Geopolitical uncertainty is a key risk that's as high as it has been for a very long time. Changes to global trade policies have impacted markets and funding for the bank. Despite the volatility, it's important that we look through the noise and avoid reacting to the headlines.
On a side note, key headlines that will capture investors' attention will hit newsstands later this month following the Reserve Bank of Australia's meeting on May 20.
And with the Reserve Bank of Australia expected to continue its rate-cutting cycle this year, Westpac's earnings and profits will likely come under further pressure.
As such, analysts are tipping Westpac shares to continue to decline, placing an average price target of about $28 on the bank's shares.
That implies a downside of about 12% over the next year.
Analysts at Macquarie have gone a step further, trimming their price target on Westpac shares to $27.50.
Image source: Getty Images
Should you buy Westpac shares?
Clearly, now is not the time to buy Westpac shares, at least according to numerous analysts following the bank.
Still, there is a lot to like about Westpac, and further sell-offs will only make the bank's share price more appealing to investors.
While the Westpac share price has shed about 4.6% of its value over the last couple of days, it's still gained over 17% over the past year.
Some investors may feel compelled to lock in those gains before the more negative analysts' predictions come to light.
For others, it could be worth keeping in mind that Australia's oldest bank's shares are still trading at well below previous highs.
Back in March 2015, Westpac shares were changing hands at around $38.89 each.
And with Westpac's dividend yield sitting at around 4.77% based on its current share price, the bank's shares could be worth a closer look.
