The Westpac Banking Corp (ASX: WBC) share price has been a very positive performer in August.
Since the start of the month, the banking giant's shares have risen 5%.
This means the Westpac share price is now up by 31% year to date, which is more than double the return of the S&P/ASX 200 Index (ASX: XJO).
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Why is the Westpac share price charging higher in August?
Investors have been bidding the Westpac share price higher this month for a number of reasons.
One of those was the release of the Commonwealth Bank of Australia (ASX: CBA) full year results earlier this week.
The strength of this result and the significantly largely than expected capital return gave investor sentiment in the banking sector a major boost.
What else?
Also giving the Westpac share price a boost this month was news that the bank is selling its Australian Life Insurance business.
Westpac has agreed to sell Westpac Life Insurance Services to TAL Dai-ichi Life Australia for $900 million.
The two parties have also entered an exclusive 20-year strategic alliance for the provision of life insurance products to Westpac's Australian customers. This will generate ongoing payments to Westpac.
Management notes that this sale is part of its strategy of simplifying the bank.
Is it too late to invest?
One leading broker that still sees a lot of value in Westpac shares is Morgans. Earlier this week, the broker retained its add rating and $29.50 price target on its shares.
Based on the current Westpac share price of $25.76, this implies potential upside of 14.5% over the next 12 months.
Morgans is also forecasting attractive fully franked dividend yields of 4.3% in FY 2021 and then 5% in FY 2022. Combined, this means the broker expects Westpac shares to provide investors with a return of ~19% over the next 12 months.
