Woolworths (ASX:WOW) share price up as stores converted to online hubs

Western Sydney is set to have two fewer supermarkets as Woolworths repurposes the stores to be distribution hubs.
The post Woolworths (ASX:WOW) share price up as stores converted to online hubs appeared first on The Motley Fool Australia. –

The Woolworths Group Ltd (ASX: WOW) share price is in the green today as the company announces it’s converting two Western Sydney supermarkets into online delivery hubs.

Woolworths’ Cecil Hills and Fairfield supermarkets will soon close temporarily as part of activity to support the company’s online delivery service.

Right now, the Woolworths share price is $39.49, 0.8% higher than its previous close.

Let’s take a closer at today’s news from Woolworths.

Supermarkets converted to online hubs

The Woolworths share price is up amid news two Western Sydney supermarkets will close.

Woolies will repurpose the supermarkets into online order distribution hubs. The new hubs will help the supermarket giant fill thousands more online orders each week.

Woolworths Fairfield will close to in-store customers at 10pm tonight.

All staff will continue to work at the hubs, charged with packing online orders.

The same fate awaits Woolworths Cecil Hills. It will close to in-store shoppers from 10pm on Friday.

According to Woolworths, they selected these stores to minimise the impact on local shoppers. Each site has between three and four Woolworths stores within a 5-kilometre radius.

Woolworths is also looking to hire 200 new staff members in Sydney to help deliver online and direct-to-boot orders.

Commentary from management

Woolworths’ operations manager for Western Sydney, Ian Roper, commented on the news that might be driving the company’s share price today:

The demand for online delivery continues to grow, particularly in Western Sydney, with more customers in self-isolation or seeking to limit their outings…

It’s an uncertain time for many in Sydney, and this will provide extra delivery capacity where it’s most needed to support the essential grocery needs of many more customers online.

Woolworths share price snapshot

The Woolworths share price has been having a good year so far.

It’s currently 13.77% higher than it was at the start of 2021. It has also increased by 12% since this time last year.

The retail monolith has a market capitalisation of $50 billion, with approximately 1.2 billion shares outstanding.

The post Woolworths (ASX:WOW) share price up as stores converted to online hubs appeared first on The Motley Fool Australia.

Should you invest $1,000 in Woolworths Group right now?

Before you consider Woolworths Group, 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 Woolworths Group 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

Own Woolworths (ASX:WOW) shares? Here’s what to look for during reporting season
Pricing power shares like Woolworths (ASX:WOW) help fight inflation: expert
ASX 200 Weekly Wrap: ASX grinds to a halt following new all-time high

Woolworths (ASX:WOW) share price struggles amid NZ duopoly concerns
Why the Endeavour (ASX:EDV) share price just hit a new all-time high

Motley Fool contributor Brooke Cooper 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 has no position in any of the stocks mentioned. 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!