1 week Ago
Owners of ( ) shares are probably aware that they've had a pretty good few months, notwithstanding the recent fallout from the pricing scandal that hit the company. But . By any standard, Coles stock had a quarter to remember over the three months to 30 September 2024.
Coles shares started this quarter at $17.03 each. But by the time trading wrapped up on Monday, those same shares were going for $18.
06. That's a gain worth a healthy 6.05%.
Things would have been far better for investors if not for the pricing scandal that came to light last month. As we covered at the time, . Over the two days following these revelations, Coles shares dropped more than 6%, falling away from the new 52-week high of $19.
40 that we saw on 19 September. So if not for this, the company would have had an even better quarter. Now, the (ASX: XJO) also had a great quarter over the three months to 30 September.
It added an even brighter 6.5%, meaning that Coles was a market laggard. However, when we consider that Coles investors also on 25 September last month, the company comes out on top once again.
Coles' final dividend, worth 32 cents per share, would add another 1.78% or so to the company's returns over the quarter just passed, pushing investors' overall return above 8%. What's next for Coles shares? So after this solid quarter for Coles shares, many investors might wonder what's next for this company.
Well, let's look at what two ASX brokers are currently saying. The first is Goldman Sachs. As , Goldman wasn't too impressed with the pricing scandal Coles was caught up in.
It noted that the revelations increased "risk from negative consumer sentiment towards the major supermarkets ...
which may negatively impact sale". In response, Goldman retained its 'neutral' rating on Coles shares and kept a 12-month share price target of $18 for the supermarket operator. If this proves accurate, the shares will obviously not improve much from where they are today.
But another ASX broker is more optimistic. Last month, . Bell Potter is far more bullish on Coles shares, initiating its coverage with a 'buy' rating and a share price target of $21.
55. If accurate, that would see Coles convincingly break its share price record. Bell Potter told investors that it believed Coles is in a strong position to continue .
Let's see who's on the money here..
