How to buy Wesfarmers (WES) shares

Learn how to easily invest in Wesfarmers shares.

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Established in 1914, Wesfarmers Ltd. (ASX: WES) is a major Australian retail conglomerate selling chemicals, fertilisers, industrial wares and safety products. It is based in Perth, Western Australia and its main markets are Australia and New Zealand. It is one of Australia's largest earning companies and reported a revenue of $30.8 billion for 2020. It employs a staff of 107,000, making it one of the largest private employers in Australia.

How to buy shares in Wesfarmers

  1. Compare share trading platforms. To buy shares listed in Australia, you'll need to sign up to a broker with access to the Australian Securities Exchange (ASX). Our table below can help you choose.
  2. Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, PayPal or debit card.
  3. Search for Wesfarmers. Find the share by name or ticker symbol: WES. Research its history to confirm it's a solid investment against your financial goals.
  4. Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Wesfarmers reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
  5. Decide on how many to buy. At today's price, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs.
  6. Check in on your investment. Congratulations, you own a part of Wesfarmers. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.

Wesfarmers stock price (ASX:WES)

Use our graph to track the performance of WES stocks over time.

Wesfarmers shares at a glance

Information last updated 2022-01-16.
52-week range$46.6766 - $64.0005
50-day moving average $58.7566
200-day moving average $57.9555
Target price$58.39
PE ratio 25.6898
Dividend yield $1.78 (3.33%)
Earnings per share (TTM) $2.102

Compare share trading platforms

The value of your investments can fall as well as rise and you may get back less than you invested. Past performance is no indication of future results.
Name Product Standard brokerage fee Inactivity fee Markets
IG Share Trading
AUD $8 or 0.1%
$50 per quarter if you make fewer than three trades in that period
ASX shares, Global shares
$0 brokerage for US and global shares plus get an active trader discount of $5 commission on Australian shares.
Enjoy some of the lowest brokerage fees on the market when trading Australian shares, international shares, plus get access to 24-hour customer support.
ThinkMarkets Share Trading
AUD $8
No
ASX shares
$8 flat fee brokerage for CHESS Sponsored ASX stocks (HIN ownership), plus free live stock price data on an easy to use mobile app.
Superhero share trading
$5
No
ASX shares, US shares, ETFs
Earn up to 15,000 Qantas frequent flyer points when you transfer an exisiting balance or trade. Offer valid for all new and existing Superhero members until 28 February.
Pay zero brokerage on US stocks and all ETFs and just $5 (flat fee) to trade Australian shares from your mobile or desktop.
GO Markets Share Trading
$7.70
No
ASX shares, Forex, CFDs, ETFs
Pay zero brokerage on your first 20 trades and $7.70 after that on over 2,500 ASX listed shares from either your desktop or mobile.
Opentrader Share Trading
AUD $5
No
ASX shares, Options trading, ETFs, Warrants
Gain access to chess sponsored shares for as little as $5 per trade.
Get free live data, advanced charting and even gain experience before trading through fantasy portfolios when you sign up with OpenTrader.
Saxo Capital Markets (Classic account)
AUD $5
No
ASX shares, Global shares, ETFs
Access 19,000+ stocks on 40+ exchanges worldwide
Low fees for Australian and global share trading, no inactivity fees, low currency conversion fee and optimised for mobile.
HSBC Online Share Trading
AUD $19.95
No
ASX shares, mFunds, ETFs, Bonds
Limited-time offer: Join HSBC’s online trading account before 28 February 2022 and HSBC will reimburse you up to $100 on your first 5 trades. Also traders who transfer $50k+ will get a $200 bonus(T&Cs apply).
Make trades online with brokerage fees starting from just $19.95 with an HSBC Online Share Trading account. Plus gain access to complimentary expert research, trading ideas and tools.
SelfWealth (Basic account)
AUD $9.5
No
ASX shares, US shares
Trade ASX and US shares for a flat fee of $9.50, regardless of the trade size.
New customers receive free access to Community Insights with SelfWealth Premium for the first 90 days. Follow other investors and benchmark your portfolio performance.
Bell Direct Share Trading
AUD $15
No
ASX shares, mFunds, ETFs
Invest in Australian shares, options and managed funds from the one account with no inactivity fee.
Bell Direct offers a one-second placement guarantee on market-to-limit ASX orders or your trade is free, plus enjoy extensive free research reports from top financial experts.
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Compare up to 4 providers

Is it a good time to buy Wesfarmers stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

Wesfarmers price performance over time

Historical closes compared with the last close of A$54.61

1 week (2022-01-13) -0.94%
1 month (2021-12-20) -7.36%
3 months (2021-10-20) -2.88%
6 months (2021-07-20) -8.80%
1 year (2021-01-20) 6.14%
2 years (2020-01-20) 24.34%
3 years (2019-01-18) 68.03%
5 years (2017-01-20) 84.50%

Is Wesfarmers under- or over-valued?

Valuing Wesfarmers stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Wesfarmers's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Wesfarmers's P/E ratio

Wesfarmers's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 26x. In other words, Wesfarmers shares trade at around 26x recent earnings.

That's relatively low compared to, say, the P/E ratio for the ASX over the 12 months to December 2019 (32.14). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.

Wesfarmers's EBITDA

Wesfarmers's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $4.1 billion (£2.2 billion).

The EBITDA is a measure of a Wesfarmers's overall financial performance and is widely used to measure a its profitability.

Wesfarmers financials

Revenue TTM $33.9 billion
Operating margin TTM 10.55%
Gross profit TTM $12.8 billion
Return on assets TTM 8.67%
Return on equity TTM 24.98%
Profit margin 7.01%
Book value 8.568
Market capitalisation $61.2 billion

TTM: trailing 12 months

Wesfarmers's environmental, social and governance track record

Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Wesfarmers.

When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.

Wesfarmers's total ESG risk score

Total ESG risk: 15.98

Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Wesfarmers's overall score of 15.98 (as at 12/31/2018) is excellent – landing it in it in the 11st percentile of companies rated in the same sector.

ESG scores are increasingly used to estimate the level of risk a company like Wesfarmers is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).

Wesfarmers's environmental score

Environmental score: 7.35/100

Wesfarmers's environmental score of 7.35 puts it squarely in the 5th percentile of companies rated in the same sector. This could suggest that Wesfarmers is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.

Wesfarmers's social score

Social score: 8.36/100

Wesfarmers's social score of 8.36 puts it squarely in the 5th percentile of companies rated in the same sector. This could suggest that Wesfarmers is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.

Wesfarmers's governance score

Governance score: 5.27/100

Wesfarmers's governance score puts it squarely in the 5th percentile of companies rated in the same sector. That could suggest that Wesfarmers is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.

Wesfarmers's controversy score

Controversy score: 2/5

ESG scores also evaluate any incidences of controversy that a company has been involved in. Wesfarmers scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Wesfarmers has, for the most part, managed to keep its nose clean.

Environmental, social, and governance (ESG) summary

Wesfarmers Limited was last rated for ESG on: 2019-01-01.

Total ESG score 15.98
Total ESG percentile 10.76
Environmental score 7.35
Environmental score percentile 5
Social score 8.36
Social score percentile 5
Governance score 5.27
Governance score percentile 5
Level of controversy 2

Wesfarmers share dividends

2%

Dividend payout ratio: 1.8% of net profits

Recently Wesfarmers has paid out, on average, around 1.8% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 3.33% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Wesfarmers shareholders could enjoy a 3.33% return on their shares, in the form of dividend payments. In Wesfarmers's case, that would currently equate to about A$1.78 per share.

While Wesfarmers's payout ratio might seem low, this can signify that Wesfarmers is investing more in its future growth.

The latest dividend was paid out to all shareholders who bought their shares by 17 November 2021 (the "ex-dividend date").

Have Wesfarmers's shares ever split?

Wesfarmers's shares were split on a 9:10 basis on 25 November 2014. So if you had owned 10 shares the day before before the split, the next day you'd have owned 9 shares. This wouldn't directly have changed the overall worth of your Wesfarmers shares – just the quantity. However, indirectly, the new 11.1% higher share price could have impacted the market appetite for Wesfarmers shares which in turn could have impacted Wesfarmers's share price.

Wesfarmers share price volatility

Over the last 12 months, Wesfarmers's shares have ranged in value from as little as $46.6766 up to $64.0005. A popular way to gauge a stock's volatility is its "beta".

WES.AU volatility(beta: 0.57)Avg. volatility(beta: 1.00)LowHigh

Beta is a measure of a share's volatility in relation to the market. The market (AU average) beta is 1, while Wesfarmers's is 0.5657. This would suggest that Wesfarmers's shares are less volatile than average (for this exchange).

Wesfarmers overview

Wesfarmers Limited primarily engages in the retail business in Australia, New Zealand, the United Kingdom, and internationally. The company is involved in the retail sale of building materials, home and garden improvement, and outdoor living products through its Bunnings stores; apparel, homewares, and general merchandise, including toys, leisure, entertainment, home, consumables, electrical products, and accessories; and office products and solutions, such as office supplies, technology, furniture, art supplies, education resources, and helpful services, including print and copy and on-site tech support through its 168 Officeworks stores. It also provides hardware and software repairs, system security solutions, wireless and wired networking services, virus and spyware prevention and removal, and data backup and recovery solutions through Geeks2U. In addition, the company manufactures and supplies ammonia, ammonium nitrate, and industrial chemicals; manufactures, imports, and distributes phosphate, nitrogen, and potassium-based fertilizers in blended, compound, and liquid form; supplies polyvinyl chloride resins used in various products comprising piping, cable insulation, floor coverings, building profiles, packaging, and compounds; produces wood-plastic composite products; and manufactures and distributes sodium cyanide for gold extraction in mining industry. Further, it extracts, markets, and distributes liquefied petroleum gas and liquefied natural gas; supplies and distributes maintenance, repair, operating products, and industrial safety products and services; manufacturers and markets industrial gases and equipment; distributes tools, safety gear, work wear, and industrial supplies; and provides risk management and compliance services, as well as offers property management services and other businesses. Additionally, the company sells its products online. Wesfarmers Limited was founded in 1914 and is headquartered in Perth, Australia.

Frequently asked questions

Disclaimer: This information should not be interpreted as an endorsement of futures, stocks, ETFs, CFDs, options or any specific provider, service or offering. It should not be relied upon as investment advice or construed as providing recommendations of any kind. Futures, stocks, ETFs and options trading involves substantial risk of loss and therefore are not appropriate for all investors. Trading CFDs comes with a higher risk of losing money rapidly due to leverage. Past performance is not an indication of future results. Consider your own circumstances, and obtain your own advice, before making any trades.

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