Local retailers share prices drop following Amazon Australia launch
Woolworths, Kogan.com, Bunnings and JB Hi-Fi share prices open lower today following Amazon's launch this morning.
Local retailers are taking a mild hit to their share prices this morning following retail giant Amazon's much-anticipated launch in Australia. Amazon launched this morning with dozens of retail options spanning electronics, clothes and beauty. While it's good news for Australian shoppers looking to snag a bargain online before Christmas, some local retailers have seen their share prices lowered following the launch.
One of the hardest hit was homewares retailer Adairs which closed at $1.80 yesterday and opened 5.5% lower this morning at $1.70 a share. Appliance retailer Godfreys also saw its share price shed, opening at $0.42 this morning, 4.5% lower than its close price yesterday.
Local supermarket giants Woolworths and Coles (owned by Wesfarmers) both felt the impact of Amazon's launch, shedding 1.11% and 0.90% from their share prices respectively overnight. Woolworths closed yesterday at $26.85 and opened this morning at $26.55 a share, but climbed back up to $26.61 by 11am. Wesfarmers closed at $43.92 yesterday and opened at $43.51 this morning, and was still sitting at this price at 11am.
Bunnings followed a similar pattern, with its share price down 0.6% when it opened this morning at $3.18, but quickly reached $3.19 an hour later. Prices may have dropped as shareholders panicked this morning following Amazon's launch, but the majority began to stablise again shortly after which is a good sign for local retailers.
Interestingly, some Australian retailers actually saw their share prices increase following Amazon's launch. Furniture retailer Nick Scali closed at $6.56 yesterday, before reaching $6.61 at 11am this morning. Travel and adventure store Kathmandu also saw its share price increase, from $2.16 at close yesterday to $2.17 by 11am today.
Major Australian retailers share prices following Amazon's launch
| Retailer | 4 December share price closed | 5 December share price open | 5 December share price 11:00am |
|---|---|---|---|
| Woolworths Limited (WOW) | AUD$26.85 | AUD$26.55 | AUD$26.61 |
| Bunnings (BWP) | AUD$3.20 | AUD$3.18 | AUD$3.19 |
| Myer (MYR) | AUD$0.77 | AUD$0.77 | AUD$0.77 |
| Godfreys (GFY) | AUD$0.44 | AUD$0.42 | AUD$0.42 |
| Westfarmers (WES) | AUD$43.92 | AUD$43.51 | AUD$43.51 |
| JB Hi-Fi (JBH) | AUD$24.10 | AUD$23.99 | AUD$23.99 |
| Harvey Norman (HVN) | AUD$4.00 | AUD$3.96 | AUD$3.97 |
| Adairs (ADH) | AUD$1.80 | AUD$1.70 | AUD$1.71 |
| AMA Group (AMA) | AUD$0.96 | AUD$0.97 | AUD$0.96 |
| Automative Holdings Group (AHG) | AUD$3.68 | AUD$3.68 | AUD$3.66 |
| Breville Group (BRG) | AUD$13.17 | AUD$13.04 | AUD$13.00 |
| Kogan.com (KGN) | AUD$4.30 | AUD$4.30 | AUD$4.29 |
| Kathmandu (KMD) | AUD$2.16 | AUD$2.16 | AUD$2.17 |
| Nick Scali (NCK) | AUD$6.56 | AUD$6.55 | AUD$6.61 |
| The Reject Shop (TRS) | AUD$5.43 | AUD$5.43 | AUD$5.41 |
For the full scoop on Amazon's arrival, check out our comprehensive guide.
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