Finder makes money from featured partners, but editorial opinions are our own.

How to buy Wesfarmers (WES) shares in Australia

Learn how to easily invest in Wesfarmers shares.

If you're looking to invest in a diversified Australian business with broad retail operations and one that traditionally pays dividends, Wesfarmers Ltd. (ASX: WES) is worth a look.

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

To buy shares listed in Australia such as Wesfarmers, you'll need to sign up to a broker with access to the ASX. Our table can help you compare share trading platforms and choose. Then follow these steps.

  1. Open and fund your brokerage account.
    Complete an application with your personal and financial details, including your ID and tax file number. Fund your account with a bank transfer, PayPal or debit card.
  2. 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.
  3. 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. Look into dollar-cost averaging to spread out your risk, which smooths out buying at consistent intervals and amounts.
  4. 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.
  5. Check on your investment.
    Congratulations, you own a part of Wesfarmers. Optimise your portfolio by tracking how your stock and 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 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 2024-05-16.
52-week range$45.0835 - $71.11
50-day moving average $67.0528
200-day moving average $58.0547
Target price$60.04
PE ratio 31.5385
Dividend yield $1.94 (2.81%)
Earnings per share (TTM) $2.21

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 Asset class
eToro
Finder AwardExclusive
eToro
$0
US$10 per month if there’s been no log-in for 12 months
ASX shares, Global shares, US shares, ETFs
Finder exclusive: Get 12 months of investment tracking app Delta PRO for free when you fund your eToro account (T&Cs apply).
CFD service. Capital at risk.
Join the world's biggest social trading network when you trade stocks, commodities and currencies from the one account.
Moomoo Share Trading
$3
$0
ASX shares, Global shares, US shares, ETFs
Finder exclusive: Get 30 days of brokerage-free trading for new accounts + 6.8% on your uninvested cash. T&Cs apply.
Trade shares on the ASX, the US markets and buy ETFs with Moomoo. Plus join a community over 20 million investors.
Tiger Brokers
Exclusive
Tiger Brokers
$5.50
$0
ASX shares, Global shares, US shares, ETFs
Finder exclusive: 10 no-brokerage US or ASX market trades in the first 180 days + 7% p.a. on uninvested cash with first deposit of any amount, plus US$30 TSLA + US$30 NVDA shares with deposits up to AU$2000. T&Cs apply.
Trade Australian, US and Asian stocks with no minimum deposit on Tiger Broker’s feature-packed platform.
CMC Invest
Finder Award
CMC Invest
$0
$0
ASX shares, Global shares, Options trading, US shares, ETFs
$0 brokerage on US, UK, Canadian and Japanese markets (FX spreads apply).
Trade over 45,000 shares and ETFs from Australia and 15 major global markets. Plus, buy Aussie shares or ETFs for $0 brokerage up to $1,000 (First buy order of each security, each day - excludes margin loan settled trades).
Webull
$4.90
$0
ASX shares, Global shares, Options trading, US shares, ETFs
Get 30 days of $0 brokerage fees when you open your account. Receive $50 of TSLA shares and a $50 trading voucher when you deposit $200. T&Cs apply.
Trade ASX and US stocks and US options, plus gain access to inbuilt news platforms and educational resources. You can also start trading for less with fractional shares.
Saxo Invested
Saxo Invested
$3
$0
ASX shares, Global shares, Options trading, US shares, ETFs
Access 22,000+ stocks on 50+ exchanges worldwide
Low fees for Australian and global share trading, no inactivity fees, low currency conversion fee and optimised for mobile.
loading

Is it a good time to buy Wesfarmers stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. However, this is not a recommendation. 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$69.7

1 week (2024-05-09) 2.48%
1 month (2024-04-17) 6.30%
3 months (2024-02-16) 10.72%
6 months (2023-11-17) 31.51%
1 year (2023-05-17) 36.67%
2 years (2022-05-17) 40.61%
3 years (2021-05-17) 28.88%
5 years (2019-05-17) 91.69%

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 32x. In other words, Wesfarmers shares trade at around 32x recent earnings.

That's comparable to, say, the P/E ratio for the ASX over the 12 months to December 2019 (32.14).

Wesfarmers's EBITDA

Wesfarmers's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $4.3 billion (£2.3 billion).

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

Wesfarmers financials

Revenue TTM $43.7 billion
Operating margin TTM 9.38%
Gross profit TTM $14.3 billion
Return on assets TTM 8.65%
Return on equity TTM 30.35%
Profit margin 5.74%
Book value 7.419
Market capitalisation $79.1 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 Ltd 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: 2.03% of net profits

Recently Wesfarmers has paid out, on average, around 2.03% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.81% 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 2.81% return on their shares, in the form of dividend payments. In Wesfarmers's case, that would currently equate to about A$1.94 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 19 February 2024 (the "ex-dividend date").

Have Wesfarmers's shares ever split?

Wesfarmers's shares were split on a 9.827:10 basis on 25 November 2014. So if you had owned 10 shares the day before the split, the next day you would own 9.827 shares. This wouldn't directly have changed the overall worth of your Wesfarmers shares – just the quantity. However, indirectly, the new 1.8% 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 $45.0835 up to $71.11. A popular way to gauge a stock's volatility is its "beta".

WES.AU volatility(beta: 0.77)Avg. volatility(beta: 1.00)LowHigh

Beta measures a share's volatility in relation to the market. The market (AU average) beta is 1, while Wesfarmers's is 0.769. This would suggest that Wesfarmers's shares are less volatile than average (for this exchange).

Wesfarmers overview

Wesfarmers Limited engages in the retail business in Australia, New Zealand, and internationally. The company is involved in the retail sale of building materials, home and garden improvement, lifestyle, and outdoor living products; apparel and general merchandise, including toys, leisure, entertainment, home, and consumables; and office products and solutions, such as stationery, technology, furniture, art supplies, and learning and development resources, as well as print and create, and technical support services through its 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. In addition, the company manufactures and supplies ammonia, ammonium nitrate, and industrial chemicals; manufactures, imports, and distributes phosphate, nitrogen, and potassium-based fertilizers; supplies polyvinyl chloride resins; produces wood-plastic composite products; and manufactures and distributes sodium cyanide. Further, it produces and distributes liquefied petroleum gas and liquefied natural gas; supplies and distributes maintenance, repair, operating products, and industrial safety products and services; manufactures and markets industrial, medical, and specialty gases and equipment; supplies tools, safety gear, personal protective equipment, electricals, work wear, and industrial supplies; and provides risk management and compliance services, as well as footwear; safety products, uniforms, engineering supplies, and packaging services; and engages in other businesses. Additionally, the company provides health, beauty, and wellbeing products and services; clinical cosmetic and skin care treatments; retail support services; distributes pharmaceutical goods; and operates online marketplace and data sharing platform. 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.

More guides on Finder

Ask a Question

You are about to post a question on finder.com.au:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our 1. Terms Of Service and 6. Finder Group Privacy & Cookies Policy.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Go to site