August has been a great month so far for the Woolworths (ASX:WOW) share price

We take a look at how shares in the supermarket giant have been performing ahead of the company’s full-year results

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The Woolworths Group Ltd (ASX: WOW) share price has had a stellar month thus far.

Since the start of the month, shares in the supermarket giant have bolted more than 6% to record highs.

In comparison, the broader S&P/ASX 200 Index (ASX: XJO) has only managed to scrape 0.65% higher since the start of August.  

Let’s take a look at what’s been fuelling the Woolworths share price this month.

What’s fuelling the Woolworths share price?

There have been several catalysts pushing the shares in Woolworths higher in August.

The most prominent catalyst has been the resurgence of the COVID-19 pandemic in Australia. A large proportion of the country’s population has experienced some form of lockdown this month. As a result, supermarkets like Woolworths are poised to benefit as consumers scramble for staple items.

Woolworths has looked to capitalise on this increased demand by launching a digital wallet for its Everyday Rewards loyalty program.

The Woolworths share price received an additional boost earlier this month after launching a new range of home accessories. According to the company’s management, the new inventory is aimed at customers working from home who are looking to improve their space.

In addition, the Woolworths share price has also seen flow-on effects this month following the demerger of its Endeavour business in May.

The demerger saw Endeavour Group Ltd (ASX: EDV) become a separately listed entity that owns retail and drinks businesses.

These include popular bottle shop chains Dan Murphy’s and BWS as well as 300 licensed venues and 12,000 gaming machines.

Outlook for Woolworths

The Woolworths share price will receive extra attention this reporting season.

Investors will be keeping a keen eye on the supermarket giant following a strong result from its rival Coles Group Ltd (ASX: COL). In addition to a strong set of financial results, Coles also delivered a 6.1% increase in its dividend for FY21.

As a result, investors will be curious about what to expect from Woolworths.

According to broker Goldman Sachs, Woolworths is expected to deliver full-year revenue of $55,414.5 million. In addition, analysts predict the supermarket giant will deliver a full-year dividend of 86 cents per share.

Woolworths is scheduled to release its results for the full year on 26 August.

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Motley Fool contributor Nikhil Gangaram has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended COLESGROUP DEF SET. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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