CBA vs ANZ vs NAB: Which Shares Are Performing Best?

For years, Commonwealth Bank of Australia (ASX: CBA) has attracted significant attention from investors following Australian bank shares. However, its share price performance in 2026 tells a different story compared with some of its major peers.

ANZ Group Holdings (ASX: ANZ), CBA and National Australia Bank (ASX: NAB) have experienced different share price movements, reflecting differences in earnings, restructuring, credit costs and market valuations.

Here is a closer look at how these three major ASX bank shares have performed in 2026 and the factors influencing their respective results.

How Have ANZ, CBA and NAB Shares Performed in 2026?

ASX bank shares have delivered mixed results, with performance varying across the major lenders.

As at mid-September 2026, ANZ was up approximately 14% over the previous 12 months, while CBA was down around 8% and NAB had declined approximately 12%. By late September, ANZ's year-to-date return was near 7%, while NAB's was around -6.5%.

These figures reflect different measurement periods and should not be compared as though they represent the same timeframe.

Share price movements also do not necessarily reflect changes in a bank's underlying financial performance. Earnings expectations, valuations, operating costs and market sentiment can all influence how investors value banking stocks.

ANZ (ASX: ANZ): Restructuring and Cost Reductions

ANZ has been undergoing a significant restructuring under CEO Nuno Matos, with a focus on reducing costs and improving returns.

The bank announced plans to cut approximately 3,500 jobs, with restructuring costs of around A$560 million, and set a target of achieving a 12% return on tangible equity by 2028.

In its first-quarter update, ANZ reported a cash profit of A$1.94 billion. Operating expenses also fell by 21% compared with the average quarterly cost in the previous half, while its cost-to-income ratio dropped below 50%.

The market responded positively to the update, supporting the bank's share price momentum.

However, ANZ's cash earnings fell by 14% in FY25 following penalty charges and redundancy costs. This provides important context when assessing its subsequent performance, as comparisons with a lower earnings base can influence reported growth rates.

What to watch: Investors will be looking at whether ANZ can sustain its cost reductions, improve profitability and meet its return-on-equity target. Restructuring execution and future earnings growth remain important considerations.

CBA (ASX: CBA): Record Profit but a High Valuation

CBA reported a record cash profit of approximately A10.98 billion for FY26,an increase of 7%.Its full-year dividend also rose to A5.05 per share.

Despite these results, CBA shares fell almost 10% in August 2026.

One factor attracting investor attention has been CBA's valuation. The bank was trading at a price-to-earnings ratio of approximately 24, significantly higher than those of its major peers.

Its net interest margin also declined by 3 basis points to 2.05%.

A high valuation can leave a stock more sensitive to changes in earnings expectations. Even when a company reports strong profits, investors may reassess its share price if they believe future growth does not justify the premium.

What to watch: CBA's earnings growth, net interest margin, dividend payments and valuation will remain important factors when assessing its share price performance.

NAB (ASX: NAB): Higher Credit Costs and Softer Lending

NAB has faced pressure from higher credit impairment charges and signs of softer housing-related lending activity.

During the first half, its credit impairment charge increased to A706millionfromA485 million in the preceding half.

Statutory profit declined by 18%, partly reflecting a A$949 million after-tax charge associated with a change in software accounting. However, underlying profit increased by 6.4%, highlighting the difference between reported statutory earnings and the bank's underlying operating performance.

NAB's subsequent third-quarter update indicated a slowdown in home loan applications, while its net interest margin slipped to 1.79%.

The bank's business banking division remains an important part of its operations. However, changes in housing demand, lending activity and credit quality can influence its future performance.

What to watch: Investors will be monitoring credit impairment charges, home lending activity, net interest margins and business banking performance.

ANZ vs CBA vs NAB: Key Differences

ANZ

• Main Focus: Restructuring and cost reductions

• Reported Profit Development: Cash earnings fell 14% in FY25

• Key Financial Consideration: Cost savings and return on tangible equity

• Important Metric to Monitor: Operating expenses and profitability

CBA

• Main Focus: Earnings strength and valuation

• Reported Profit Development: FY26 cash profit rose 7%

• Key Financial Consideration: Premium price-to-earnings valuation

• Important Metric to Monitor: Net interest margin and earnings growth

NAB

• Main Focus: Credit costs and lending trends

• Reported Profit Development: Underlying profit rose 6.4% in the first half

• Key Financial Consideration: Higher credit impairment charges

• Important Metric to Monitor: Credit quality and lending activity

The figures above refer to different reporting periods and financial measures. They provide context for comparing the banks but should not be treated as a like-for-like performance ranking.

What Should Investors Consider When Comparing ASX Bank Shares?

Investors comparing ANZ, CBA and NAB can examine several factors beyond headline share price movements.

1. Earnings and Profitability

Reported profit, cash earnings and underlying profit measure different aspects of a bank's financial performance. Understanding the adjustments behind each figure can help explain why the market reacts differently to individual results.

2. Valuation

A bank reporting strong earnings may still experience a share price decline if its valuation is considered high relative to its growth prospects. Comparing price-to-earnings ratios alongside earnings expectations can provide additional context.

3. Credit Quality

Credit impairment charges reflect provisions for potential credit losses. Changes in these charges can influence profitability, particularly when economic conditions affect borrowers' ability to repay loans.

4. Net Interest Margins

Net interest margin measures the difference between the interest a bank earns on assets and the interest it pays on funding, relative to its interest-earning assets. Changes can affect bank profitability and may reflect competition, funding costs and lending conditions.

5. Dividends and Franking

Dividend payments and franking credits can influence the after-tax income Australian investors receive. ANZ, CBA and NAB may differ in their dividend policies and franking levels, so investors should check each bank's latest dividend announcement.

6. Restructuring and Future Growth

Cost reductions can improve efficiency, but their longer-term benefits depend on execution and whether the bank can maintain service quality, grow earnings and manage operational risks.

Final Thoughts

The ANZ vs CBA vs NAB story in 2026 highlights how earnings, costs, credit conditions and valuations can influence major ASX bank shares differently.

ANZ's performance is closely linked to its restructuring and cost-reduction program. CBA has reported record cash profits while attracting attention for its premium valuation. NAB is navigating higher credit impairment charges and softer home lending activity.

For investors following ASX bank shares, comparing financial results, valuations, dividends and future business conditions can provide a more complete picture than share price movements alone.

Past share price performance does not guarantee future returns, and the information above is general in nature rather than personal financial advice.
 

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