Commonwealth Bank of Australia (ASX: CBA) shares crashed lower in August, and the declines have continued through most of September so far.

At the time of writing, the ASX bank stock is down around 0.2% to $153.13 a piece. Today’s decline means the shares are down around 5% for September so far and 6% for the year to date.

For context, the S&P/ASX 200 Index (ASX: XJO) is up around 0.3% in Wednesday morning trade. This index is down around 3% for September so far and roughly 0.5% higher for the year to date.

Now the question is, should I buy CBA shares in the dip? 

Could the shares rebound next month or is there more downside to come?

What has happened to CBA shares in September?

After a difficult August, CBA shares started trending higher in the first week of September, but then the tumble resumed. 

The banking giant has faced several persistent headwinds this month, including a cooling property market and renewed forecasts for more interest rate increases.

The Reserve Bank of Australia (RBA) is now widely expected to hike interest rates next week on the 29th of August. All four of Australia’s major banks, including CBA, are forecasting a 25-basis-point increase when the board meets next week.

The change in sentiment is driven by rising oil prices amid escalating conflict in the Middle East, a stubbornly high inflation rate, and a tight jobs market.

RBA governor Michele Bullock recently warned that Australia’s jobs market was still putting upwards pressure on wages, business costs, and inflation. She said that unemployment may need to rise to tame inflation, adding that an unemployment rate of 4.5% to 5% could help ease inflation pressure.

And all this is happening against a backdrop of a highly competitive mortgage market. CBA often has to cut mortgage prices and squeeze its net interest margins to remain competitive. And this eats into the bank’s profits.

Should I buy CBA shares before the end of the month?

Brokers are pretty pessimistic about the outlook for CBA shares over the next 12 months. 

Market Index data shows that all brokers have a strong sell rating on the banking giant’s shares. The average $125.20 target price implies a potential 18% downside, at the time of writing.

TradingView data shows something very similar. Out of 16 analysts, 14 have a sell or strong sell rating on the shares. Another two rate the bank stock as a hold.

They all agree that a downside is ahead, however. The average $128.29 target price implies a potential 16% downside ahead. But some still think the share price could fall by up to 41%, to just $90 a share.

Shaw and Partners rates CBA shares as a sell and warns that, with a price-to-earnings (P/E) ratio of around 23.5, CBA is the highest of the big four ASX 200 bank stocks.

The broker added that Federal Government initiatives to increase housing supply and improve affordability are likely to intensify competition and place even more pressure on lending margins.

Medallion Financial Group also has a sell recommendation on CBA shares. The broker thinks that the bank’s valuation is stretched and that better valuation opportunities exist elsewhere.

With forecasts like this, I think there is a very good chance that CBA shares will fall further in October.

The post Should I buy CBA shares before the end of September? appeared first on The Motley Fool Australia.

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Motley Fool contributor Samantha Menzies 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.

Myer Holdings Ltd (ASX: MYR) shares are leaping higher today.

The All Ordinaries Index (ASX: XAO) department store owner closed yesterday trading for 17.5 cents. In morning trade on Wednesday, shares are changing hands for 19 cents apiece, up 8.6%.

For some context, the All Ords is up 0.3% at this same time.

This outperformance follows the release of Myer’s full-year FY 2026 results.

Here are the highlights.

Myer shares jumping higher

For the 12 months to 25 July, Myer reported total sales of $4.09 billion, up 0.7% from FY 2025 on a comparable basis.

The company’s cost of doing business (CODB) came in at $1.19 billion, which management said reflected the inclusion of Myer Apparel Brands and investments to drive strategic priorities.

Myer shares are soaring today, despite the company reporting underlying earnings before interest and tax (EBIT) of $139 million, down 7% year on year on an actual basis and 23.5% lower on a pro forma basis.

On the bottom line, the department store reported underlying net profit after tax (NPAT) of $42.5 million, down 2.9% on an actual basis and down 32.1% on a pro forma basis.

With profits sliding, Myer will not pay a final FY 2026 dividend. The company paid a fully franked interim dividend of 1.5 cents a share on 21 May.

As for the first eight weeks of FY 2027, Myer’s comparable sales are up 0.2% while actual sales are 2.7% lower than the first eight weeks of FY 2026.

What did management say?

Commenting on the results that are lifting Myer shares today, chair Olivia Wirth said, “The second half of FY26 was characterised by a volatile and significantly more challenging macroeconomic and retail environment than 1H26 or FY25.”

Wirth added:

While our performance in the first four months of 2H26 was mixed, including a stronger May, we observed a material downturn in consumer sentiment. This was particularly evident in June and July, adding to subdued consumer sentiment and weak discretionary spending.

Despite these challenges, we continued to progress our Myer Group Growth Strategy, Value Creation program and integration activities.

Can Solomon Lew revive Myer shares?

Even with today’s gains factored in, Myer shares remain down 60.4% since this time last year.

But the company appears to be banking on the return of billionaire investor Solomon Lew to help turn the ship around.

In a separate announcement this morning, Myer revealed that Lew has been appointed to the board as a Non-Executive Director, effective tomorrow, 24 September.

Lew, Myer’s largest shareholder, was voted off the board back in 2002.

Commenting on his appointment, Wirth said:

We are pleased to welcome Sol to the board. His deep retail expertise and strong economic alignment to Myer Group as our largest shareholder will be important in helping to drive long-term value creation for all our shareholders.

Sol knows the retail sector inside and out. We are confident that the board and Myer Group will benefit greatly from his vast experience and expertise.

The post Why are Myer shares rocketing 9% on Wednesday? appeared first on The Motley Fool Australia.

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Motley Fool contributor Bernd Struben 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 recommended Myer. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The Insurance Australia Group Ltd (ASX: IAG) share price is in focus today after the ACCC blocked its planned acquisition of RAC Insurance, citing concerns over reduced competition in Western Australia’s car and home insurance markets.

What did Insurance Australia Group report?

• The ACCC has formally opposed IAG’s proposed acquisition of RAC Insurance (RACI).
• The decision follows an in-depth Phase 2 review under the new formal merger regime.
• If approved, IAG’s WA market share would have climbed to 55–65% in motor insurance and 50–60% in home and contents.
• IAG currently supplies insurance products nationally under brands like NRMA, CGU and WFI.
• The determination does not impact IAG’s other business activities or previous acquisitions.

What else do investors need to know?

The ACCC found that combining IAG with RACI would substantially lessen competition for both motor vehicle and home insurance in Western Australia. The regulator noted that other insurers wouldn’t provide enough competitive pressure to offset this.

The proposed deal was first opposed by the ACCC in December 2025, under the informal regime. IAG resubmitted for approval under the formal merger rules that started in January 2026. The process included detailed consultation and analysis of submissions from industry stakeholders.

If the parties wish to challenge this determination, they may lodge a public benefit application for further review, which allows a separate consideration of the potential benefits versus the public detriment.

What’s next for Insurance Australia Group?

IAG is now expected to maintain its existing brands and strategies in Western Australia without the RAC Insurance acquisition. The group still has a strong presence through brands like NRMA and CGU, and previously announced growth plans, including digital innovation and customer experience enhancements.

Any further action on the acquisition will depend on whether IAG decides to pursue a public benefit application with the ACCC. Otherwise, IAG’s focus is likely to remain on organic growth in existing markets and delivering value for shareholders.

Insurance Australia Group share price snapshot

Over the past 12 months, Insurance Australia Group shares have declined 3%, trailing the S&P/ASX 200 Index (ASX: XJO), which has declined 1% over the same period.

View Original Announcement

The post ACCC blocks Insurance Australia Group’s RAC Insurance acquisition appeared first on The Motley Fool Australia.

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Motley Fool contributor Laura Stewart 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. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.