Woolworths: Underlying trends remain supportive

About the author:

Author name:

By Alex Lu

Job title:

Analyst

Date posted:

03 May 2023, 7:00 AM

Sectors Covered:

Industrials

• Woolworths' (ASX:WOW) 3Q23 sales trading update overall was marginally better than we expected.
• Australian Food and NZ Food like-for-like (LFL) sales growth was higher than our forecast, while BIG W was below.
• Management said 4Q23 sales trends have been in line with 3Q23 with solid sales growth in the Food businesses and growth moderating in BIG W.
• We make negligible changes to FY23-25F earnings forecasts.
• Our target price remains largely unchanged at (login to view) and we maintain our Hold rating.

Find out more

If you would like more information, please contact your adviser or nearest Morgans office. 

Disclaimer: The information contained in this report is provided to you by Morgans Financial Limited as general advice only, and is made without consideration of an individual's relevant personal circumstances. Morgans Financial Limited ABN 49 010 669 726, its related bodies corporate, directors and officers, employees, authorised representatives and agents (“Morgans”) do not accept any liability for any loss or damage arising from or in connection with any action taken or not taken on the basis of information contained in this report, or for any errors or omissions contained within. It is recommended that any persons who wish to act upon this report consult with their Morgans investment adviser before doing so.