Australia Stock Alert


Afternoon Alert: Woolworths Group hits 52-week high sixth time in one month June 19, 2018 13:00:00 AEST


Woolworths Group Limited (ASX:WOW) hit a 52-week high of $A29.48 today for the sixth time in the past one month and last traded at $A29.39. This brought its three-day rise to 41.0c or 1.4%.

Current indications of bullish signals that support the trend in the unusual trading:

+ The positive 0.24 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ In the last one month the stock has hit a new 52-week high six times and in the last three months twelve times, pointing to a significant uptrend.

+ The price increased 0.6% in the last week and 1.7% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:


+ Return on Equity 16.2% [13.2%]

Other Bullish Signals include:

+ Interest cover is less leveraged at 12 times.

+ Tobin's Q Ratio is 1.7. Compared with the rest of the market the stock is undervalued.

+ The Brand Value represents an impressive 26.9% of the estimated Enterprise Value of $A43.8 billion.

+ Net Profit margin and EBIT margin are positive and have seen consecutive rises in recent years.


The stock has outperformed 70% of the Australian market over the past 6 months.

Bearish Signals:

Net profit margin has averaged 2.7% in the last 3 years. This suggests the company is less profitable with a low margin of safety.


The 0.3% discount to 12-month high of $A29.48 against the 22.4% premium to 12-month low of $A24.01 suggests the climb might be peaking.

Fundamental measures by comparison with the sector average [in brackets] indicate:


Dividend yield of 3.2% [4.0%]

Price/Earnings of 24.7 [20.4]

Woolworths Group Limited (AU:WOW; ASX:WOW; AX:WOW)

ISIN: AU000000WOW2

PermID: 4295856585