Shares of Australia and New Zealand Banking Group (ASX: ANZ) shed $1.22 this morning, or 4.6%, hitting a low of $25.43 before rebounding to $25.75.
The last time they traded below the $26 per share mark was in January 2013. They hit an all-time high of $37.25 in April this year but have since retreated nearly 31%, for reasons outlined below.
Today's sharp decline, however, can be attributed to the stock going ex-dividend. That means that investors holding the shares leading into today's session are now entitled to a 95 cent per share, fully franked dividend which they will receive on 16 December 2015.
National Australia Bank Ltd. (ASX: NAB) went ex-dividend yesterday and experienced a similar retreat while Westpac Banking Corp (ASX: WBC) will trade without rights to its dividend on Wednesday, 11 November, 2015.
Despite ANZ's heavy fall, I'm not a buyer at today's price. From here, there are a number of factors which could drag the shares lower, including tougher regulation, falling dividends, surging bad debt charges and tougher competition amongst the major banks. These factors, or fears of these factors, are among the reasons behind the bank's sharp fall over the last six months.
I also think there are a number of superior opportunities currently on offer.
