Top broker tips ANZ (ASX:ANZ) share price to rise 14%

This banking giant's shares have been tipped to rise…

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The Australia and New Zealand Banking GrpLtd (ASX: ANZ) share price had a tough start to the week.

The banking giant's shares ended the day 2% lower at $27.14. This follows a broad market selloff on Monday.

Is the ANZ share price weakness a buying opportunity?

While today's decline in the ANZ share price is disappointing for shareholders, it could be a buying opportunity for non-shareholders.

According to a note out of Bell Potter this morning, its analysts have retained their buy rating and $31.00 price target on the bank's shares.

Based on the current ANZ share price, this implies potential upside of 14% over the next 12 months before dividends.

And with Bell Potter forecasting a $1.40 per share fully franked dividend in FY 2022, the potential total return increases to over 19%.

What did the broker say?

Bell Potter notes that ANZ has held its Environmental, Social, and Governance (ESG) meeting and appears happy with what it heard.

It commented: "The bank continues to take risks seriously, aligning purpose and ESG with strategy to derive value. Primarily to help someone to save, buy and own a liveable house, the bank also encourages businesses to grow and adopt practices as well as to move capital around the regions. In effect, the job of the bank is to see environment sustainability as a risk and opportunity – a big ask but doable."

Outside this, the broker is positive on management's focus on the more profitable and higher return on equity Australian and New Zealand retail, business, and private banking space. In addition, it sees value in certain offshore operations focusing on institutional banking.

However, while Bell Potter remains bullish on the ANZ share price, it isn't its top pick. In fact, following the meeting, it has slipped down the pecking order.

The note reveals that Commonwealth Bank of Australia (ASX: CBA) shares are its preferred pick. After which, National Australia Bank Ltd (ASX: NAB) shares have leapfrogged ANZ to become its second favourite big four bank.

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