The Bank of Queensland share price just hit a 52-week low. Time to buy?

Young woman using computer laptop with hand on chin thinking about question, pensive expression.

Young woman using computer laptop with hand on chin thinking about question, pensive expression.

It’s been a fairly decent day for the S&P/ASX 200 Index (ASX: XJO) so far this Wednesday. After yesterday’s carnage, the ASX 200 is in the green today, up a robust 0.36% at the time of writing to back over 7,100 points. But it’s been a sadder day for the Bank of Queensland Limited (ASX: BOQ) share price.

Bank of Queensland shares have recorded a nasty 2.85% loss for the day so far. This ASX 200 bank share is currently trading at $7.16 a share. That share price happens to be right on BOQ’s new 52-week low.

To be fair, it’s been a tough day for ASX 200 banks all around. All four of the major banks are well in the red today. Commonwealth Bank of Australia (ASX: CBA) is leading the losses with a painful 4.21% plunge to pull the bank back under $100 a share.

As the Fool covered this morning, this weakness amongst the ASX 200 banking sector appears to have been driven by the Reserve Bank of Australia (RBA)’s shock 50-basis point interest rise yesterday.

But now that BOQ is at a new 52-week low, there might be some value investors out there wondering if we are seeing a buying opportunity today. Or perhaps income investors too. After all, this share price slide has boosted BOQ’s trailing dividend yield to an eye-catching and fully franked 6.14%.

Well, let’s see what one ASX broker reckons.

Is the Bank of Queensland share price a buy today?

As my Fool colleague covered just yesterday, ASX broker Morgans is eyeing off BOQ shares. Morgans currently rates Bank of Queensland as a “buy”, with a 12-month share price target of $11. That would mean an upside of more than 50% over the next year if Morgans proves accurate with its target.

Morgans is bullish on BOQ over the early successes it is seeing with its transformation program, as well as its “above-system growth” and the cost synergies from the recent ME Bank acquisition.

Not only that, but Morgans reckons BOQ is well placed to keep its dividends coming. It is anticipating dividend raises in FY2022 and again in FY2023.

No doubt existing BOQ shareholders will be very excited after reading these predictions. But only time will tell if they prove to be accurate.

In the meantime, the current BOQ share price gives the Bank of Queensland a market capitalisation of $4.64 billion. 

The post The Bank of Queensland share price just hit a 52-week low. Time to buy? appeared first on The Motley Fool Australia.

Should you invest $1,000 in Bank of Queensland right now?

Before you consider Bank of Queensland, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Bank of Queensland wasn’t one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of January 13th 2022

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Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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