WFAFY — Wesfarmers Ltd
$26.73
Target: $29.00 (+8.5%)
P/E Ratio
31.9
P/E Forward
33.1
Dividend
3.5%
Market Cap
$60.8B
EPS
$0.84
Consensus
Hold
What they do
Wesfarmers is Australia's largest diversified conglomerate, founded in 1914. It operates a retail empire including Bunnings (hardware and home, Australia's 'Home Depot' with A$23.4B in sales), Kmart Group (clothing and home, A$10.5B), Officeworks (office and tech, A$3.6B), and Wesfarmers Health/Priceline (pharmacy and beauty, A$3.3B). Outside retail, it has WesCEF — a chemicals, energy, fertilizers, and lithium division (A$3.0B) running the Mt Holland project, a lithium mine in partnership with SQM producing spodumene and starting a lithium hydroxide refinery. It also owns Industrial & Safety (Blackwoods, A$2.0B) and OneDigital, a data platform with 12.5 million consumer profiles. Over 85% of its revenue comes from retail.
Why we like it
Wesfarmers just reported strong results in H1 2026: revenue of A$24.2B (+3.1%) and NPAT of A$1.6B (+9.3%), led by Bunnings and Kmart. The long-term driver is the lithium division — Mt Holland already produces 98,000 tons of concentrate and the Kwinana refinery started in July 2025, positioning Wesfarmers as an integrated lithium producer just as EV battery demand grows. FY2025 showed revenue of A$45.7B (+3.4%), NPAT of A$2.9B (+14.4%), and EBIT of A$4.5B (+11.9%). The OneDigital platform with 12.5M profiles creates a competitive edge in retail analytics. Dividend increased to A$3.56 (+80%) with a yield of 3.5%. ROE of 33% shows efficient capital use.
Key Risk
The main risk is the high stock price: a forward price vs. profit of 33x is expensive for a retail conglomerate, limiting potential gains and increasing drops if results disappoint. Additional risks: the Australian economy under pressure from persistent inflation and high living costs reduces consumer spending; growing competition from Amazon (~12% of Australian e-commerce) and Temu (~4%) pressures prices; the Kwinana lithium refinery has delays due to technical issues; and geographic concentration in Australia/NZ limits diversification.
This is educational and informational content, not financial advice. Always consult a qualified financial advisor before making investment decisions.
Vectorial Data picked WFAFY on 2026-04-15 at $26.73.
Full Research
Wesfarmers Ltd (WFAFY) — Research Completo
Precio ADR: $26.73 | P/E: 31.9 | P/E Forward: 33.1 | Div Yield: 3.5% | Market Cap: $60.8B
Qué Es
Wesfarmers Limited es el conglomerado más grande de Australia, fundado en 1914 como cooperativa de granjeros en Western Australia. Hoy opera un imperio diversificado que abarca retail, químicos, litio, salud, y servicios industriales, con A$45.7 billones en revenue y más de 120,000 empleados.
Cotiza como WES.AX en la bolsa de Sydney (ASX) y como WFAFY en OTC Markets de EE.UU. (1 ADR = 0.5 acciones ordinarias).
Modelo de Negocio
| División | Revenue FY2025 | % del Total | Descripción |
|---|---|---|---|
| Bunnings | A$23.4B | ~51% | Ferretería y hogar — el "Home Depot" de Australia y NZ. 390+ tiendas. |
| Kmart Group | A$10.5B | ~23% | Kmart + Target — ropa, hogar, juguetes. Marca propia Anko. |
| Officeworks | A$3.6B | ~8% | Artículos de oficina, tecnología, impresión. 170+ tiendas. |
| Wesfarmers Health | A$3.3B | ~7% | Priceline Pharmacy (490+ farmacias), InstantScripts (telehealth). |
| WesCEF | A$3.0B | ~7% | Químicos, fertilizantes, gas natural, y litio (Mt Holland). |
| Industrial & Safety | A$2.0B | ~4% | Blackwoods, Workwear Group — suministros industriales. |
Por Qué Ahora
1. Litio en rampa:
- La mina Mt Holland (JV 50/50 con SQM) produjo 98,000 toneladas de espodumeno en H1 2026
- La refinería de Kwinana ya produce hidróxido de litio desde julio 2025
- Wesfarmers será un productor integrado de litio cuando complete el ramp-up
2. H1 2026 sólido:
- Revenue A$24.2B (+3.1%), NPAT A$1.6B (+9.3%)
- Bunnings creció en todas las categorías
- Kmart subió 3.3%, WesCEF mejoró por litio
3. FY2025 record:
- Revenue A$45.7B, NPAT A$2.9B (+14.4%), EBIT A$4.5B (+11.9%)
4. OneDigital:
- Plataforma de datos cross-divisional con 12.5M de perfiles únicos
- Construyendo una red de retail media — otro flujo de ingresos de alto margen
Métricas Financieras
| Métrica | Valor (FY2025) |
|---|---|
| Revenue | A$45.7B (~US$32.6B) |
| Revenue Growth | +3.4% YoY |
| EBIT | A$4,465M (+11.9% YoY) |
| EBIT Margin | 9.8% |
| NPAT | A$2,926M (+14.4% YoY) |
| Net Margin | 6.4% |
| ROE | 33% |
| Free Cash Flow | A$3.4B (~US$2.4B) |
| Dividend FY2025 | A$3.56/acción (+80%) |
| Dividend Yield | 3.5% |
| P/E TTM | 31.9x |
| P/E Forward | 33.1x |
| Market Cap | A$85B (~US$60.8B) |
Riesgos Principales
- Valuación alta — P/E forward de 33x es premium para un conglomerado retail.
- Economía australiana — CPI del 3.6%, costos de vida altos. El consumidor australiano está apretado.
- Competencia digital — Amazon (~12% del e-commerce australiano), Temu (~4%) presionan precios.
- Riesgos del litio — La refinería de Kwinana tiene retrasos técnicos. Precios del litio volátiles.
- Concentración geográfica — 95%+ del revenue viene de Australia/NZ.
Consenso de Analistas (WES.AX)
| Métrica | Valor |
|---|---|
| Consenso | Hold |
| # Analistas Buy | 2 |
| # Analistas Hold | 5 |
| # Analistas Sell | 6 |
| Target Promedio (WES.AX) | A$81.24 |
| Target WFAFY (USD) | ~$29.00 |
| Upside al Target | +8.5% |
Nota: 1 WFAFY ADR = 0.5 acciones WES.AX. Conversión AUD/USD ~0.714.
Research fecha: 15 Abr 2026 | Próxima revisión: Oct 2026
Esto no es asesoría financiera.
This is not financial advice. Consult a certified financial advisor.
The author may hold positions in the securities discussed.
Past performance does not guarantee future results.