Is the CBA share price too high?

Historically, CBA shares have been priced more expensively than the other ASX banks of Westpac Banking Corp (ASX: WBC), Australia and New Zealand Banking Group Ltd (ASX: ANZ) and National Australia Bank Ltd (ASX: NAB). But some brokers like Macquarie and Morgans believe that the CBA share price valuation is too high.

Is CBA's stock overpriced?

CBA's high annual dividend of $4.30 a share is undoubtedly one of the bank's biggest stock draw cards. But many of the major brokers now think the stock is overpriced, even considering its high yield and recent profit results (better than expected).

What happened to the CBA share price on 19 February?

In the days leading up to 19 February, CBA's share price reached a peak of $91.05, the highest it's been in over 3 years, before plummeting as low as $87.5 within 24 hours. The ex-dividend date is the final day shares must be held in order to be eligible for the next dividend payment.