Who knows. JP Morgan is down -7% in the past month with a -3% drop today. CBA is currently up 2.7% for the month. 10% out performance despite the huge valuations difference. JPM is on 12.8 price multiple, CBA is 28 times. So, CBA is 120% more expensive which is utterly stupid on a scale of monumental proportions.
CBA is so far out sea at these multiple values there will have to be a reckoning. Perhaps we see a very violent drop today. JP Morgan dropped -3.3% today, Bank of America -3.4%, Citi Bank -4.3% and Goldman Sachs -4.3%, Wells Fargo -3%. It's possible CBA given its extreme recent gains and sky-high price multiple could drop -5% today. However, its shown so much resilience perhaps it drops a -1% and claws its way back to even by the end of the trading day.
Who knows, but its going to be a very interesting day for CBA.
CBA Price at posting:
$159.73 Sentiment: Sell Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)