Why you should hold your Westfield Group shares

The stock has outperformed the broader market and is looking like climbing higher.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Shares in global shopping centre giant Westfield Group (ASX: WDC) rose above $11 for the first time since October last week.

They have been on a steady incline for the last six weeks and have risen almost 15% from their December low. In comparison, the S&P/ASX 200 Index (Index: ^AXJO) (ASX: XJO) has jumped 7.8% while Westfield Retail Trust (ASX: WRT) has risen 14.6% in the same time.

Although many investors remain concerned about the future of the bricks-and-mortar retail industry, it is well worth holding onto your Westfield Group shares for the long haul. The company has excellent exposure to the recovering US and UK economies and is developing its most iconic centres to maximise foot traffic and sales.

Its World Trade Centre mall in New York as well as Westfield London and Croydon (in London’s south) are set to drive the Group’s earnings well into the future – particularly given the popular brands lining up for store space including Apple, Michael Kors, Victoria’s Secret and Giorgio Armani.

The stock offers a 4.7% dividend yield and is trading on a P/E ratio of 16.5.

An even better bet for your money

Even at today’s price, I would strongly consider adding Westfield Group to my portfolio. However, right now I believe there is an even more compelling investment idea that is ripe for the picking.

Motley Fool contributor Ryan Newman does not own shares in any of the companies mentioned.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

asx share price competitions represented by businessmen arm wrestling
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

person reading news on mobile phone
⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »