Is the Commonwealth Bank Of Australia share price cheap?

Is the Commonwealth Bank Of Australia share price cheap?

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Commonwealth Bank Of Australia (ASX:CBAis a large cap in the Banks industry with services  retail, business and institutional banking, funds management, superannuation, general insurance, and broking.

Right now the Commonwealth Bank Of Australia share price displays favourable value traits, as evidenced by its Value Rank of 76. Let's explore this in more detail.

Breaking down Commonwealth Bank Of Australia's Value Rank

We can see by using Commonwealth Bank Of Australia’s StockReport that the group has a:

  • Rolling price to book value of 1.52,
  • Trailing twelve month price to earnings ratio of 13.3
  • Trailing twelve month price to free cashflow of 6.10
  • Rolling dividend yield of 6.41%
  • Trailing twelve-month price to sales ratio of 4.40

This combination of financial traits suggests that Commonwealth Bank Of Australia stock might be good value at current levels, although further research is required if this is to be confirmed.


What does this mean for potential investors?

Some of the best quality stocks in the market have defensible models that can deliver high levels of shareholder returns over the long term. But there are no guarantees and it's important to do your own research. Indeed, we've identified some areas of concern with Commonwealth Bank of Australia that you can find out about here.


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Commonwealth Bank of Australia's StockRank™

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Commonwealth Bank of Australia's StockRank™

With a StockRank of 90, Commonwealth Bank of Australia is more attractive than 90% of the 2,022 stocks we cover in Australasia, according to our proprietary ranking system.

See the full StockReport

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