Over the past 12 months Commonwealth Bank of Australia's share price has increased 22.5 per cent, outperforming the market by five percentage points. CBA shareholders have received impressive capital growth boosted by $3.83 per share in fully franked dividends. But is this performance sustainable?
CBA's share price is grazing all-time highs and significantly above our fiscal 2014 valuation of $71.64. An investment at these levels would be high risk from a future return perspective.