Below is the market cap of CBA. 125 billion in 2015 to tops of around 175 billion in July 2023 - 8 years to do 40%
But then ping, 174 billion to 245 billion in 12 months, representing 40%. Whats happened in the past 12 months that is worthy of such a climb? Im not even fudging the chart to pick a low following a COVID/GFC like event.
Is what you said applicable to only the past 12 months? What about 1991 - 2023. Why wernt investors willing to bid this stock up to a 25 PE multiple at anytime from 1991-2023?
Are we know entering an era where investors will gladly except a dividend yield lower than inflation from a company that pays out almost all earnings & has modest growth potential.
Like I said, its a ponzi rally - existing buyers are counting on someone willing to buy of them 5-10-15% down the line.
(20min delay)