The sentiment around big four bank shares has been interesting to watch over the last 12 months.
Many price targets indicated these blue-chip stocks were fully valued.
For example, Commonwealth Bank of Australia (ASX: CBA) was consistently listed as a sell as it reached record highs in the middle of 2025.
While it did retreat in the back half of last year, it never reached the lows expected by some analysts.
Fast forward to February earnings season, and all big four bank shares saw healthy stock price growth on the back of results.
This stock price spike wasn't anticipated by many.
It's a good lesson to remind investors that broker price targets are not a guarantee. Even blue-chip bank stock markets can shift quickly.
Another key lesson to remember is these big four bank shares represent a dominant part of the ASX.
Just as US focussed investors may want exposure to Apple or Tesla, here in Australia, it's the big banks that sit atop the market cap rankings.
Let's see how much investors may have cashed in over the last months investing in these blue-chip bank shares.
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NAB, Westpac and ANZ lead the charge
Over the last 12 months, these three ASX bank shares have brought similar returns.
Since this time last year:
- National Australia Bank Ltd (ASX: NAB) has risen 34.88%
- Westpac Banking Corp (ASX: WBC) has climbed 31.45%
- ANZ Group Holdings Ltd (ASX: ANZ) has increased 32.39%.
For context, a $10,000 investment made in one of these companies a year ago would today be worth between $13,100 – $13,500 depending on the stock.
Meanwhile, CBA shares have risen 10.72%, still slightly ahead of the S&P/ASX 200 Index (ASX: XJO).
It's worth noting CBA shares are up 18% since late January.
How to invest in ASX bank shares
ASX bank shares led the way in February, reminding investors that stock prices can continue to rise even when valuations appear full.
Those waiting for CBA shares to drop to $100 per share which was tipped by some brokers, may now be regretting a missed opportunity.
It's proof once again for long term investors that time in the market can trump timing the market.
For investors wanting wider exposure to ASX bank shares rather than individual holdings, one option is VanEck Vectors Australian Banks ETF (ASX: MVB).
80% of the fund is allocated to the big four banks. The rest is made up of 3 other ASX bank shares.
It can provide a more diversified approach rather than choosing one bank stock.
