I want to buy CBA shares. What price should I pay?
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The Commonwealth Bank of Australia (ASX: CBA) share price has dropped back recently, making it look cheaper. But has the ASX bank share fallen far enough to make it appealing?
As the chart above shows, the bank’s value has declined 11% since 13 February 2025 and 5% since 3 April 2025.
Investors often call CBA shares expensive, partly because the bank is trading on a much higher price/earnings (P/E) ratio than National Australia Bank Ltd (ASX: NAB), Westpac Banking Corp (ASX: WBC) and ANZ Group Holdings Ltd (ASX: ANZ).
But, CBA has proven it can outperform other banks operationally, with good loan growth, a solid net interest margin (NIM), a resilient loan book and solid dividends.
So, let’s look at what a…
