Wesfarmers

Are Wesfarmers shares likely to be good value for a super fund?

A: Thanks for the question.


Yes – as part of a diversified portfolio.


We have Wesfarmers in both our ‘income’ and ‘growth’ portfolios – with weightings of 5% and 4% respectively.


According to FN Arena, WES is trading on a forward multiple of 19.3x, and is forecast to pay a fully franked dividend yielding 5.6% in FY 15, and 5.5% in FY16.



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