Perth, April 27, 2026, 00:03 (AWST)
- Bunnings, Kmart, and Target—Wesfarmers’ main retail brands—remained shut throughout Anzac Day in New South Wales due to trading restrictions, while rules differed in other states.
- WES.AX hovered at A$74.20, just topping its previous close. Shares remain pinned near their recent lows after a lackluster 2026 stretch.
- The ASX cash market plans to open for trading on Monday, despite NSW, Western Australia and the ACT marking an extra Anzac Day public holiday. Shares are set to return to the spotlight.
Monday brings a new challenge for Wesfarmers Limited as it returns to trading following retail restrictions tied to Anzac Day. Over the weekend, Bunnings, Kmart and Target—all major brands under the Wesfarmers umbrella—faced partial or full closures in parts of Australia due to holiday trading laws. Still, ASX Trade confirmed its cash market remains open for trading, clearing and settlement on Monday, even with the NSW Anzac Day public holiday.
That’s significant: Wesfarmers stock doesn’t leave much margin for disappointment. Shares ended at A$74.20—barely a cent higher—after a week where the price never strayed beyond A$74.19 to A$74.97, still lagging their opening level for 2026.
This wasn’t just a Wesfarmers headache. Coles, Woolworths, Aldi, and Big W all found themselves dealing with either full-day or partial shutdowns across key states, so the holiday hit the whole sector without favoring one chain over another. In NSW, Coles, Woolworths, Aldi, Bunnings, Target, Kmart, and Big W shut their doors for the entire day because of stricter regulations introduced last year, according to .
Wesfarmers faces a tricky moment here. The Perth-based company—behind Bunnings and Kmart—has pitched its case to investors: keep prices down, get productivity gains, use retail data, and those cost pressures on homes and businesses can be managed. Back in February, Reuters called Wesfarmers Australia’s largest non- food retailer after it posted half-year results.
Wesfarmers delivered a statutory net profit after tax of A$1.603 billion for the half-year ended Dec. 31, a 9.3% increase, with revenue hitting A$24.212 billion. “Strong earnings contributions” from Bunnings, Kmart Group and the WesCEF chemicals, energy and fertilisers division drove the profit, Managing Director Rob Scott said.
The shares dropped following the results, as sales growth in the second half lagged what analysts were looking for, with attention turning to a choppy consumer environment. Scott spoke to reporters, flagging inflation as a top economic hurdle for Australia, saying it hits lower-income households hardest.
Bunnings posted a 5.5% bump in first-half earnings before interest and tax, coming in at A$1.4 billion. Kmart’s earnings climbed 7% to A$733 million. WesCEF saw gains from lithium prices. Even so, both Bunnings and Kmart missed what the market was looking for in terms of second-half growth, Reuters reported.
The sell-side isn’t feeling bullish. Fourteen analysts tracked by MarketScreener put together a consensus rating of “underperform.” The average price target comes in at A$76.51—just a 3% bump from the previous close. Price targets range widely, from A$58 up to A$100, reflecting sharply divided views on Wesfarmers’ ability to wring more growth from its retail operations. MarketScreener
Valuation’s a sticking point here. According to Morningstar numbers cited by Intelligent Investor, Wesfarmers is trading on a 2026 forecast price-to-earnings multiple of 27.1. Harvey Norman sits much lower at 11.6, while Myer comes in at just 7.4. The P/E ratio, essentially, is what investors are shelling out for each dollar in profit. When you’re paying that kind of premium, there’s not much cushion if consumer demand weakens or margins slip.
Wesfarmers is banking on tech to hold onto that premium. The company flagged stepped-up use of artificial intelligence across customer experience, merchandising, marketing, contact centres and supply-chain optimisation. After the half-year closed, Wesfarmers also locked in strategic partnerships with Microsoft and Google Cloud.
There’s a risk here: the plan could take more time to boost earnings. Wesfarmers flagged persistent pressure from domestic operating costs, while the Covalent Lithium refinery’s ramp-up was pushed back to tackle intermittent odour problems. Even so, WesCEF still anticipated second-half lithium earnings would edge above the first half. If household budgets weaken further, or price competition heats up, margins could face extra strain.
Right now, it’s straightforward: Wesfarmers needs to prove Bunnings and Kmart can hang onto shoppers and still turn a solid profit, not just chase traffic. On top of that, the newer ventures—health, data, OnePass, lithium—have to contribute more than just a supporting role. What happens next with WES.AX should reveal how much investor patience remains.
