Westpac Banking Corporation’s (AU:WBC) shares are among the most traded on the ASX, despite the share price growth not being impressive. However, the dividends still remain steady, making it a worthy investment option for income investors.
Following a negative start to the year, the shares have seen an almost 4% increase in the past three months. Year-to-date, the stock has experienced fluctuations but ultimately closed at a similar price level.
Analysts have mixed views about the stock and have rated it a Hold.
![](https://blog.tipranks.com/wp-content/uploads/2023/08/1-35.png)
Westpac Banking Corporation is among the major financial institutions in the country, along with being the oldest one. The bank provides a full range of banking and financial services to around 14 million customers.
Stable Dividends
The bank is among the top dividend payers on the ASX, with a dividend yield of 6.37%. In May, the company announced its interim dividend of AU$0.7 per share in 2023, which was above the interim dividend of AU$0.61 paid in 2022. The total dividends paid in 2022 were AU$1.25 per share. Australian brokerage firm Morgans expects this dividend to grow to AU$1.49 per share in 2023 and AU$1.52 in 2024.
![](https://blog.tipranks.com/wp-content/uploads/2023/08/2-29.png)
Analysts’ Opinions
Over the last month, the stock has received mixed ratings from analysts on TipRanks. Most recently, 13 days ago, Ord Minnett reiterated the Buy rating on the stock, predicting a growth of 27.6% in the share price.
On the other hand, 25 days ago, Morgan Stanley analyst Richard Wiles confirmed his Hold rating with a downside prediction of 4%.
Overall, analysts have a cautious approach to the bank’s earnings for the rest of 2023 and 2024, as they believe the interest income has peaked.
![](https://blog.tipranks.com/wp-content/uploads/2023/08/3-15.png)
Is Westpac a Good Share to Buy?
According to TipRanks’ consensus, WBC stock has received a Hold rating based on one Buy, six Hold, and one Sell recommendations. The average price target is AU$23.17, which is 5.6% above the current price level.
![](https://blog.tipranks.com/wp-content/uploads/2023/08/4-6.png)
Conclusion
Even though analysts are not confident about the share price growth, the projection of substantial dividend yields for both the current and upcoming years is encouraging.