How to buy Commonwealth Bank of Australia (CBA) shares

Learn how to easily invest in Commonwealth Bank of Australia shares.

We’re reader-supported and may be paid when you visit links to partner sites. We don’t compare all products in the market, but we’re working on it!

Commonwealth Bank of Australia (CBA) is Australia's largest bank and provides financial services in Australia, New Zealand, Asia, Europe and other parts of the world. These services include institutional banking, personal insurance, savings accounts, credit cards and loans. Founded in 1911, the bank is one of the oldest financial institutions in Australia and can be traded on the Australian Securities Exchange (ASX).

How to buy shares in Commonwealth Bank of Australia

  1. Compare share trading platforms. To buy shares listed in Australia, you'll need to sign up to a broker with access to the Australian Securities Exchange (ASX). Our table below can help you choose.
  2. Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, PayPal or debit card.
  3. Search for Commonwealth Bank of Australia. Find the share by name or ticker symbol: CBA. Research its history to confirm it's a solid investment against your financial goals.
  4. Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Commonwealth Bank of Australia reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
  5. Decide on how many to buy. At today's price, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs.
  6. Check in on your investment. Congratulations, you own a part of Commonwealth Bank of Australia. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.

Commonwealth Bank of Australia stock price (ASX:CBA)

Use our graph to track the performance of CBA stocks over time.

Commonwealth Bank of Australia shares at a glance

Information last updated 2021-12-04.
52-week range$77.0764 - $110.19
50-day moving average $102.9904
200-day moving average $97.6994
Target price$93.9
PE ratio 17.8941
Dividend yield $3.5 (3.65%)
Earnings per share (TTM) $5.399

Compare share trading platforms

The value of your investments can fall as well as rise and you may get back less than you invested. Past performance is no indication of future results.
Name Product Standard brokerage fee Inactivity fee Markets
IG Share Trading
AUD $8 or 0.1%
$50 per quarter if you make fewer than three trades in that period
ASX shares, Global shares
$0 brokerage for US and global shares plus get an active trader discount of $5 commission on Australian shares.
Enjoy some of the lowest brokerage fees on the market when trading Australian shares, international shares, plus get access to 24-hour customer support.
Superhero share trading
$5
No
ASX shares, US shares
Earn up to 15,000 Qantas frequent flyer points when you transfer an exisiting balance or trade. Offer valid for all new and existing Superhero members until 28 February.
Pay zero brokerage on US stocks and all ETFs and just $5 (flat fee) to trade Australian shares from your mobile or desktop.
ThinkMarkets Share Trading
AUD $8
No
ASX shares
Limited-time offer: Get 10 free ASX trades ($0 brokerage) when you open a share trading account with ThinkMarkets before 31 December 2021(T&Cs apply). $8 flat fee brokerage for CHESS Sponsored ASX stocks (HIN ownership), plus free live stock price data on an easy to use mobile app.
Bell Direct Share Trading
AUD $15
No
ASX shares, mFunds, ETFs
Finder Exclusive: Get 5 free stock trades and unlimited ETF trades until 31 Dec 2021, when you join Bell Direct. T&Cs apply.
Bell Direct offers a one-second placement guarantee on market-to-limit ASX orders or your trade is free, plus enjoy extensive free research reports from top financial experts.
Saxo Capital Markets (Classic account)
AUD $5
No
ASX shares, Global shares, ETFs
Access 19,000+ stocks on 40+ exchanges worldwide
Low fees for Australian and global share trading, no inactivity fees, low currency conversion fee and optimised for mobile.
HSBC Online Share Trading
AUD $19.95
No
ASX shares, mFunds, ETFs, Bonds
Limited-time offer: Join HSBC’s online trading account before 28 February 2022 and HSBC will reimburse you up to $100 on your first 5 trades. Also traders who transfer $50k+ will get a $200 bonus(T&Cs apply).
Make trades online with brokerage fees starting from just $19.95 with an HSBC Online Share Trading account. Plus gain access to complimentary expert research, trading ideas and tools.
CMC Markets Invest
AUD $11 or 0.1%
No
ASX shares, Global shares, mFunds, ETFs
$0 brokerage on global shares including US, UK and Japan markets.
Trade up to 9,000 products, including shares, ETFs and managed funds, plus access up to 15 major global and Australian stock exchanges.
SelfWealth (Basic account)
AUD $9.5
No
ASX shares, US shares
Trade ASX and US shares for a flat fee of $9.50, regardless of the trade size.
New customers receive free access to Community Insights with SelfWealth Premium for the first 90 days. Follow other investors and benchmark your portfolio performance.
loading

Compare up to 4 providers

Is it a good time to buy Commonwealth Bank of Australia stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

Commonwealth Bank of Australia price performance over time

Historical closes compared with the last close of A$96.61

1 week (2021-11-29) 3.02%
1 month (2021-11-05) -11.94%
3 months (2021-09-06) -5.43%
6 months (2021-06-04) -5.76%
1 year (2020-12-04) 20.49%
2 years (2019-12-06) 22.31%
3 years (2018-12-06) 38.67%
5 years (2016-12-06) 23.84%

Is Commonwealth Bank of Australia under- or over-valued?

Valuing Commonwealth Bank of Australia stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Commonwealth Bank of Australia's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Commonwealth Bank of Australia's P/E ratio

Commonwealth Bank of Australia's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 18x. In other words, Commonwealth Bank of Australia shares trade at around 18x recent earnings.

That's relatively low compared to, say, the P/E ratio for the ASX over the 12 months to December 2019 (32.14). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.

Commonwealth Bank of Australia's PEG ratio

Commonwealth Bank of Australia's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 2.54. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.

The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Commonwealth Bank of Australia's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.

Commonwealth Bank of Australia financials

Revenue TTM $24 billion
Operating margin TTM 54.89%
Gross profit TTM $24 billion
Return on assets TTM 0.84%
Return on equity TTM 11.74%
Profit margin 42.47%
Book value 44.41
Market capitalisation $159 billion

TTM: trailing 12 months

Commonwealth Bank of Australia's environmental, social and governance track record

Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Commonwealth Bank of Australia.

When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.

Commonwealth Bank of Australia's total ESG risk score

Total ESG risk: 22.97

Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Commonwealth Bank of Australia's overall score of 22.97 (as at 12/31/2018) is nothing to write home about – landing it in it in the 43rd percentile of companies rated in the same sector.

ESG scores are increasingly used to estimate the level of risk a company like Commonwealth Bank of Australia is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).

Commonwealth Bank of Australia's environmental score

Environmental score: 2.14/100

Commonwealth Bank of Australia's social score

Social score: 10.25/100

Commonwealth Bank of Australia's governance score

Governance score: 9.86/100

Commonwealth Bank of Australia's controversy score

Controversy score: 4/5

ESG scores also evaluate any incidences of controversy that a company has been involved in. Commonwealth Bank of Australia scored a 4 out of 5 for controversy – the second-lowest score possible, reflecting that Commonwealth Bank of Australia has a damaged public profile.

Environmental, social, and governance (ESG) summary

Commonwealth Bank of Australia was last rated for ESG on: 2019-01-01.

Total ESG score 22.97
Total ESG percentile 42.55
Environmental score 2.14
Social score 10.25
Governance score 9.86
Level of controversy 4

Commonwealth Bank of Australia share dividends

74%

Dividend payout ratio: 74.47% of net profits

Recently Commonwealth Bank of Australia has paid out, on average, around 74.47% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 4.17% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Commonwealth Bank of Australia shareholders could enjoy a 4.17% return on their shares, in the form of dividend payments. In Commonwealth Bank of Australia's case, that would currently equate to about A$3.5 per share.

Commonwealth Bank of Australia's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.

The latest dividend was paid out to all shareholders who bought their shares by 16 August 2021 (the "ex-dividend date").

Have Commonwealth Bank of Australia's shares ever split?

Commonwealth Bank of Australia's shares were split on 5 October 1999.

Commonwealth Bank of Australia share price volatility

Over the last 12 months, Commonwealth Bank of Australia's shares have ranged in value from as little as $77.0764 up to $110.19. A popular way to gauge a stock's volatility is its "beta".

CBA.AU volatility(beta: 0.64)Avg. volatility(beta: 1.00)LowHigh

Beta is a measure of a share's volatility in relation to the market. The market (AU average) beta is 1, while Commonwealth Bank of Australia's is 0.6446. This would suggest that Commonwealth Bank of Australia's shares are less volatile than average (for this exchange).

Commonwealth Bank of Australia overview

Commonwealth Bank of Australia provides integrated financial services in Australia, New Zealand, and internationally. It operates through Retail Banking Services, Business Banking, Institutional Banking and Markets, and New Zealand segments. The company offers retail, premium, business, offshore, and institutional banking services; and funds management, superannuation, and share broking products and services, as well as car, health, life, income protection, and travel insurance. It offers transaction, savings, foreign currency accounts; term deposits; personal and business loans; overdrafts; equipment finance; credit cards; international payment and trade; and private banking services, as well as home and car loans, and importer finance products. The company also provides advisory services for high net worth individuals; equities trading and margin lending services; debt capital, transaction banking, working capital, and risk management services; and international and foreign exchange services. As of June 30, 2021, it operated 875 branches and 2,492 ATMs. The company was founded in 1911 and is based in Sydney, Australia.

Frequently asked questions

Disclaimer: This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for all investors. Trading CFDs comes with a higher risk of losing money rapidly due to leverage. Past performance is not an indication of future results. Consider your own circumstances, and obtain your own advice, before making any trades.

More guides on Finder

Ask an Expert

You are about to post a question on finder.com.au:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Terms of Use, Disclaimer & Privacy Policy and Privacy & Cookies Policy.
Go to site