Wesfarmers Stock Beta
| WES Stock | 72.06 0.43 0.60% |
Wesfarmers fundamentals help investors to digest information that contributes to Wesfarmers' financial success or failures. It also enables traders to predict the movement of Wesfarmers Stock. The fundamental analysis module provides a way to measure Wesfarmers' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Wesfarmers stock.
Wesfarmers | Beta |
Wesfarmers Company Beta Analysis
Wesfarmers' Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Current Wesfarmers Beta | 0.84 |
Most of Wesfarmers' fundamental indicators, such as Beta, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Wesfarmers is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
| Competition |
In accordance with the recently published financial statements, Wesfarmers has a Beta of 0.837. This is much higher than that of the Broadline Retail sector and significantly higher than that of the Consumer Discretionary industry. The beta for all Australia stocks is notably lower than that of the firm.
Wesfarmers Beta Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Wesfarmers' direct or indirect competition against its Beta to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Wesfarmers could also be used in its relative valuation, which is a method of valuing Wesfarmers by comparing valuation metrics of similar companies.Wesfarmers is currently under evaluation in beta category among its peers.
Wesfarmers ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Wesfarmers' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Wesfarmers' managers, analysts, and investors.Environment Score | Governance Score | Social Score |
As returns on the market increase, Wesfarmers' returns are expected to increase less than the market. However, during the bear market, the loss of holding Wesfarmers is expected to be smaller as well.
Wesfarmers Fundamentals
| Return On Equity | 0.3 | |||
| Return On Asset | 0.0893 | |||
| Profit Margin | 0.06 % | |||
| Operating Margin | 0.08 % | |||
| Current Valuation | 91.74 B | |||
| Shares Outstanding | 1.14 B | |||
| Shares Owned By Insiders | 0.75 % | |||
| Shares Owned By Institutions | 32.72 % | |||
| Price To Book | 9.47 X | |||
| Price To Sales | 1.85 X | |||
| Revenue | 44.05 B | |||
| Gross Profit | 14.33 B | |||
| EBITDA | 5.75 B | |||
| Net Income | 2.56 B | |||
| Cash And Equivalents | 421 M | |||
| Total Debt | 11.28 B | |||
| Book Value Per Share | 7.57 X | |||
| Cash Flow From Operations | 4.59 B | |||
| Earnings Per Share | 2.26 X | |||
| Target Price | 64.87 | |||
| Number Of Employees | 120 K | |||
| Beta | 0.84 | |||
| Market Capitalization | 81.65 B | |||
| Total Asset | 27.31 B | |||
| Retained Earnings | 1.17 B | |||
| Working Capital | 1.19 B | |||
| Annual Yield | 0.03 % | |||
| Net Asset | 27.31 B | |||
| Last Dividend Paid | 1.98 |
About Wesfarmers Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Wesfarmers's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Wesfarmers using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Wesfarmers based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
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Additional Tools for Wesfarmers Stock Analysis
When running Wesfarmers' price analysis, check to measure Wesfarmers' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Wesfarmers is operating at the current time. Most of Wesfarmers' value examination focuses on studying past and present price action to predict the probability of Wesfarmers' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Wesfarmers' price. Additionally, you may evaluate how the addition of Wesfarmers to your portfolios can decrease your overall portfolio volatility.