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    Coles Group (ASX:COL) Shares Track Online Strength As Growth Cools

    Simply Wall St·08/26/2026 22:26:50
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    Coles Group walked into this result with the stock up 11.7% over three months and trading on a rich P/E of 29.5%, priced as a dependable supermarket compounder. The headline today is that the earnings engine largely lived up to that premium. Full year underlying net profit after tax reached A$1.09b and group revenue came in at A$45.6b, with food supermarkets and a fast growing A$5.6b eCommerce arm doing the heavy lifting.

    Is Coles Group’s 29.5x P/E a justified premium for a supermarket compounder, or a sign that the stock is already priced for perfection? See what the market is implying about future cash flows in our valuation analysis for Coles Group

    FY 2026 Earnings Summary

    • Revenue, FY 2026: A$45,722m vs. FY 2025 A$44,487m (up 2.8%)
    • Net Income, FY 2026: A$1,090m vs. FY 2025 A$1,079m (up 1.0%)
    • Basic EPS, FY 2026: A$0.814648 vs. FY 2025 A$0.807634 (up 0.9%)
    • Same Store Sales Growth, FY 2026: 3.4% vs. FY 2025 3.7% (slower growth)

    Prefer clear charts to a dense wall of earnings tables and raw figures? View Coles Group’s full financial picture, including how its valuation compares with the latest results, in our interactive company report for Coles Group.

    ASX:COL Trailing 12-Month Revenue & Expenses Breakdown as at Aug 2026
    ASX:COL Trailing 12-Month Revenue & Expenses Breakdown as at Aug 2026

    Coles bullish story anchored in food and online

    For investors leaning toward the defensive Coles thesis, the latest numbers broadly support it. Group revenue and net income both moved higher, and basic EPS edged up to A$0.814648. That points to a business that is still growing, even if only modestly. Supermarkets and the A$5.6b eCommerce arm remain the main earnings drivers. Together they show that the core food and online proposition is adding scale rather than giving up ground, which fits a steady, income oriented supermarket narrative.

    Coles risks still visible in slower growth signals

    The bear case also finds some backing. Same store sales growth slowed to 3.4% from 3.7%, which hints at a tougher backdrop and less room to rely on like for like gains. Net income and EPS only inched ahead, so profitability is not racing away from cost pressures. Liquor underperformance and higher planned CapEx through FY28 add execution and capital allocation questions. The share price gain of about 11.7% over 90 days contrasts with only low single digit earnings growth, which keeps expectations sensitive to any stumble.

    Reveal where the surface looks calm, but the models quietly diverge on Coles Group’s next few years, and see where the consensus could break on revenue and earnings inflection points with the analyst estimates for Coles Group.

    Stay Ahead With Simply Wall St

    If Coles Group’s premium 29.5x P/E and modest earnings growth have your attention, register for free with Simply Wall St and add it to a Watchlist to track the share price against fair value and watch for a better entry point. Once you own the stock, use the Portfolio Command Center to cut through noise and focus on the most important events that could shift the thesis. For longer term decisions, lean on the Community to see how other investors are thinking about risks and opportunities around Coles Group and similar stocks. This way you can spot hidden catalysts or emerging risks early and stay a step ahead of the wider market.

    Seeking Alternatives Beyond Coles Group?

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.