Wesfarmers stock gains 1.15 percent as Macquarie keeps Buy rating

Published on 10/07/2026 at 10:46 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Macquarie set an AUD 85.00 target on October 6, while FY26 net profit reached AUD 2.9 billion. The ASX price was AUD 76.73 on October 7, 19.0 percent below its high.

Wesfarmers, AU000000WES1, Illustration mit AI erstellt.

Wesfarmers stock (ISIN AU000000WES1) was trading at AUD 76.73 on the ASX on October 7, 2026, up 1.15 percent at 11:30 a.m. AEST. Macquarie maintained its Buy rating and set an AUD 85.00 price target on October 6, according to Markets Insider.

Macquarie sees upside

The target stands AUD 8.27 above the October 7 price, an implied upside of 10.8 percent. That gap gives the latest broker view a measurable edge over the market quotation, although the target remains an analyst estimate rather than company guidance.

Jarden also maintained a Buy rating and set an AUD 83.20 target on October 1, as reported by Markets Insider. Its target was AUD 6.47 above the ASX price on October 7, equivalent to 8.4 percent upside.

FY26 profit supports the case

Wesfarmers reported AUD 2.9 billion in net profit after tax for fiscal year 2026, an 8.3 percent increase after excluding significant items from the prior year, according to the company's results briefing carried by Yahoo Finance on August 27, 2026.

The same briefing put the total FY26 dividend at AUD 2.22 per share, up 7.8 percent, while free cash flow increased 15.8 percent to AUD 4.0 billion. Bunnings earnings rose 5.0 percent to AUD 2.45 billion and Kmart Group earnings increased 6.0 percent to AUD 1.1 billion, making the retail divisions central to the profit profile.

Retail resilience meets valuation

FNArena reported on October 7 that Morgan Stanley had upgraded Wesfarmers from Underweight to Equal-weight in mid-September, citing stable margins. The report also highlighted that Bunnings generated 56 percent of FY26 divisional earnings, while Kmart contributed 25.5 percent.

That mix helps explain why broker targets remain above the current quotation despite consumer pressure. It also leaves valuation as the main counterweight: the October 7 price was 19.0 percent below the 52-week high of AUD 94.70, but still 8.4 percent above the 52-week low of AUD 70.80.

Wesfarmers stock remains below its high

Wesfarmers stock was last at AUD 76.73 on the ASX on October 7, 2026, while its market capitalization stood at AUD 86.6 billion. The price sits closer to the 52-week low than the high, while current broker targets and FY26 earnings growth provide the central valuation debate.