Commonwealth Bank of Australia (OTCMKTS:CMWAY) Shares Gap Up Following Dividend Announcement

Key Points

• Commonwealth Bank of Australia shares gapped up to $113.75 following a dividend announcement, marking a rise from the previous close of $110.50.
• The announced dividend of $1.6817 per share yields 282.0%, significantly increasing from the previous dividend of $1.41.
• Analysts have downgraded the bank's stock from a "strong-buy" to a "hold" rating, reflecting a cautious outlook on its performance.

Shares of Commonwealth Bank of Australia Sponsored ADR (OTCMKTS:CMWAY - Get Free Report) gapped up before the market opened on Wednesday following a dividend announcement from the company. The stock had previously closed at $110.50, but opened at $113.75. Commonwealth Bank of Australia shares last traded at $113.72, with a volume of 1,603 shares traded. The newly announced dividend which will be paid on Thursday, October 9th. Investors of record on Tuesday, August 26th will be paid a dividend of $1.6817 per share. This represents a yield of 282.0%. The ex-dividend date is Monday, August 25th. This is an increase from Commonwealth Bank of Australia's previous dividend of $1.41.

Wall Street Analyst Weigh In

Separately, Zacks Research lowered Commonwealth Bank of Australia from a "strong-buy" rating to a "hold" rating in a research report on Monday. One analyst has rated the stock with a Hold rating, According to data from MarketBeat.com, the stock has a consensus rating of "Hold".

Commonwealth Bank of Australia Stock Up 2.9%

The stock has a 50 day moving average price of $116.48 and a 200 day moving average price of $107.19.

Commonwealth Bank of Australia Company Profile

Commonwealth Bank of Australia provides 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 transaction, savings, and 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.

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