Comyn sense
Commonwealth Bank's share price took a hit today after disappointing half-year results, and some analysts think it's still too high — but CEO Matt Comyn says the bank's scale gives it an enduring competitive advantage.
CBA’s gravity defying share price took a big hit on today’s half-year result. For the banking sector as a whole, and CBA in particular, the reality of higher cost of living, higher interest rates, lower confidence and the depletion of Covid-era savings has finally hit.
Credit quality is deteriorating. Yet CBA chief executive Matt Comyn insists the bank’s base case for a soft landing in the economy remains intact.
“There would have to be a very significant deviation, which we aren't seeing at the moment,” he told Capital Brief today.
It was telling that CBA opted to focus its media release and investor presentation on hardship, a bleaker forecast and support options for the stressed. This is normally page 2 material, particularly when the result had plenty of strengths.
