ANZ Group Holdings share price analysis and dividend outlook

ANZ Group Holdings Ltd is currently trading at approximately $37.20, a level considered to be near fair value rather than a bargain. While earnings per share are projected to remain relatively flat with estimates of $2.57 in FY26 and $2.55 in FY27, the bank remains an attractive option for income-focused investors.

Forecasts suggest a forward dividend yield of around 4.5%, with expected dividends of $1.66 per share for both FY26 and FY27. These payments are expected to be partially franked. The sustainability of these dividends is supported by the fact that they remain comfortably below projected earnings.

As one of Australia’s ‘Big Four’ banks with a significant presence in New Zealand, ANZ’s valuation is influenced by its net interest margin (NIM) and its ability to manage the spread between deposit costs and lending income. Additionally, the company maintains a workplace culture rating of 3.3/5, which is slightly above the ASX banking sector average of 3.1.