How to buy Commonwealth Bank of Australia shares

Own Commonwealth Bank of Australia shares in just a few minutes.

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Commonwealth Bank of Australia is a banks-diversified business based in Australia. Commonwealth Bank of Australia shares (CBA) are listed on the Australian Securities Exchange (ASX) and all prices are in Australian Dollars. Commonwealth Bank of Australia has a trailing 12-month revenue of around $21.2 billion. If you're looking to buy shares, check out the steps below.

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 share price

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

Commonwealth Bank of Australia shares at a glance

Information last updated 2021-06-17.
52-week range$61.5584 - $106.57
50-day moving average $97.6883
200-day moving average $88.2853
Target price$73.17
PE ratio 23.5303
Dividend yield $2.48 (2.37%)
Earnings per share (TTM) $4.501

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
Superhero share trading
AUD $5
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ASX shares, ETFs
Pay zero brokerage on all Australian ETFs.
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AUD $8
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ASX shares, ETFs
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Bell Direct Share Trading
AUD $15
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ASX shares, mFunds, ETFs
⭐ Finder Exclusive: Get 5 free stock trades and unlimited ETF trades until July 31, 2021 when you join Bell Direct.
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.
IG Share Trading
Finder Award
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.
Saxo Capital Markets (Classic account)
AUD $6.99
No
ASX shares, Global shares, Forex, CFDs, Margin trading, Options trading, ETFs
Acess 19,000+ stocks on 37 exchanges worldwide
Low fees for Australian and global share trading, no inactivity fees, low currency conversion fee and optimised for mobile.
CMC Markets Stockbroking
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.
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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$101.93

1 week (2021-06-11) 0.56%
1 month (2021-05-21) 3.96%
3 months (2021-03-19) 20.33%
6 months (2020-12-18) 22.57%
1 year (2020-06-19) 48.41%
2 years (2019-06-20) 22.97%
3 years (2018-06-20) 41.75%
5 years (2016-06-20) 37.37%

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 24x. In other words, Commonwealth Bank of Australia shares trade at around 24x 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 $21.2 billion
Operating margin TTM 50.22%
Gross profit TTM $21.5 billion
Return on assets TTM 0.67%
Return on equity TTM 9.28%
Profit margin 39.36%
Book value 42.316
Market capitalisation $187.9 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

69%

Dividend payout ratio: 68.7% of net profits

Recently Commonwealth Bank of Australia has paid out, on average, around 68.7% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.37% 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 2.37% return on their shares, in the form of dividend payments. In Commonwealth Bank of Australia's case, that would currently equate to about A$2.48 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 15 February 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 $61.5584 up to $106.57. A popular way to gauge a stock's volatility is its "beta".

CBA.AU volatility(beta: 0.68)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 0.6788. 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, Europe, Asia, North America, and internationally. It offers retail, premium, business, and institutional banking; and funds management, insurance, and share-broking products and services. The company operates through Retail Banking Services, Business Banking, Institutional Banking and Markets, New Zealand, and International Financial Services segments. It offers transaction and savings accounts, term deposits, personal and business loans, credit cards, insurance products, international payment, and private banking services, as well as home, car, and personal loans. 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 merchant, international and foreign exchange, and risk management services. It operates through 940 branches and 2,700 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.

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