Wesfarmers (ASX:WES) share price rises amid latest digital push

After some midday wobbles, Wesfarmers shares have bounced back…
The post Wesfarmers (ASX:WES) share price rises amid latest digital push appeared first on The Motley Fool Australia. –

ASX 200 investors aren’t used to the Wesfarmers Ltd (ASX: WES) share price doing anything except rising in recent months. Wesfarmers has been one of the ASX 200’s best performing blue chips in 2021 so far, and indeed over the past few years.

The Wesfarmers share price is currently up more than 23% year to date, including almost 2.5% in the past week (almost worth the same as Wesfarmers’ current annual dividend yield).

It’s also up more than 35% over the past year, and a very healthy 108% over the past 5 years.

And today is no different it seems. After shaking off some midday wobbles and blues, Wesfarmers shares are currently up 0.58% to $63.73. That’s just a whisker away from the company’s all-time high of $63.95 that we saw just yesterday.

So what’s behind all of these new highs?

Well, a number of things have been attracting investors’ attention to this industrial conglomerate. Most notable was Wesfarmers’ $687 million bid for the pharmaceutical company Australian Pharmaceutical Industries Ltd (ASX: API) that was made public last month.

Wesfarmers owns coal mines, chemical plants and a clothing line. This is in addition to its most famous assets in Bunnings Warehouse, OfficeWorks, Kmart and Target. But it doesn’t yet have significant exposure to pharmacies. If this deal eventually goes ahead, that would obviously change.

But we did get some other news today that might be influencing the Wesfarmers share price.

Wesfarmers share price rises, new digital push to thank?

According to a report in The Australian today, Wesfarmers has poached Australia Post’s head of consumer and community Nicole Sheffield. Ms Sheffield will join Wesfarmers in November. She will reportedly be filling a “newly created digital data role reporting directly to [Wesfarmers CEO] Rob Scott”.

This role represents an expansion of Wesfarmers’ digital data strategy, with Ms Sheffield set to oversee retail data across Bunnings, Kmart and Target.

The report quotes a Wesfarmers spokesperson as stating the following on this development:

This is a new role for Wesfarmers, reflecting the strategic importance and growth potential of our data and digital strategies, and Nicole will work in close partnerships with the divisions.

We might find out more about Wesfarmers’ new digital data push when the company reports its FY21 earnings on 27 August.

At the current Wesfarmers share price, the company has a market capitalisation of $72 billion. It also has a price-to-earnings (P/E) ratio of 38.3, and a trailing dividend yield of 2.6%.

The post Wesfarmers (ASX:WES) share price rises amid latest digital push appeared first on The Motley Fool Australia.

Should you invest $1,000 in Wesfarmers right now?

Before you consider Wesfarmers, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Wesfarmers wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of May 24th 2021

More reading

These 10 ASX 200 shares hit new 52-week highs this Monday

Pricing-power shares like Wesfarmers (ASX:WES) help fight inflation: expert
Wesfarmers (ASX:WES) share price slips amid green hydrogen agreement
ASX 200 Weekly Wrap: Blockbuster Afterpay deal turbocharges ASX to new record highs

2 ASX 200 shares lifting to record highs before full-year results

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Wesfarmers Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!