The market has punished the banks so far in 2016, with the big four trading around 10 per cent lower across the board, prompting some investors to describe the stocks as “screaming cheap”.
“Over the last 30 years they’ve rarely been as cheap as they are today,” says Julian Babarczy, head of Australian equities at Regal Funds Management. “And people are worried about lots of things, it’s hard to see a defining event or catalyst that will give people confidence, but the big question is how sustainable the current dividend payouts are.”
So says the AFR:
