The Westpac Banking Corp (ASX: WBC) share price may be lower today, but in the last five trading sessions it has put on a gain of almost 4%.
This brings its 12-month share price return to almost 10%.
Is it too late to buy Westpac's shares?
Due to the strong run its shares have had in recent days, I would class Westpac as a hold now at $33.35.
Whilst its shares could still climb higher from here, I don't see enough upside potential to justify recommending them as a buy.
Instead I would suggest investors wait in the hope that there is a pull back to the $31.00 to $32.00 level.
At this level I think that Australia's oldest bank provides investors with a compelling risk/reward and offers both value and yield.
Why not sell?
Although I don't think its shares will go much higher from here, they still provide a very generous dividend that is hard to beat on the market.
At the current share price Westpac's shares provide a trailing fully franked 5.6% dividend.
This is still greater than the Commonwealth Bank of Australia (ASX: CBA) dividend even after its recent fall from grace.
For this reason I think it is well worth holding onto Westpac's shares.
