Well, August is upon us. With the new month at hand, it's a good time to reassess our plans for the share market and our own portfolios of ASX shares. This month, I'd love to add some capital to two ASX 200 shares that I'm eyeing off right now on my watchlist.
One I already have a decent position in. The other would be a new holding in my portfolio. Let's get into them.
A pair of ASX 200 shares that I'd like to buy this August
Wesfarmers Ltd (ASX: WES)
First up is Wesfarmers. This ASX 200 retail and industrial conglomerate is one of the oldest companies in the country. It is also one of the most diversified. Its crown jewels are the retailing behemoths of Bunnings, Kmart, Target and OfficeWorks.
But Wesfarmers also has interests in stakes in dozens of other businesses. These include chemicals and fertiliser, lithium, clothing, gas and property.
I already have a position in Wesfarmers shares, but I can't help thinking the current share price is a good point to add some more. Today, the Wesfarmers share price remains under $50, trading at $49.46 at the time of writing.
That's a good 6% or so off of the 52-week high of $52.79 that we saw back in April, as well as more than 25% below the all-time high of over $66 that Wesfarmers hit back in 2021:
At the current share price, Wesfarmers offers a trailing dividend yield of 3.8%, which comes fully franked as well. All of this is adding up to a compelling case for adding more of this ASX 200 share this August.
Endeavour Group Ltd (ASX: EDV)
I'm still kicking myself that I didn't pounce on the Endeavour share price when it cratered by 10% during the middle of July. Investors were reacting (overreacting in hindsight) to changes to gaming regulations announced by the Victorian government.
Endeavour quickly fell 10% on this news, down to a new all-time low of $5.45 a share. But the company didn't stay there long and is now back above $6, going for $6.04 at present:
I think Endeavour is one of the strongest businesses on the ASX. It has near-complete domination of the Australian bottle shop space with its Dan Murphy's and BWS chains. These make Endeavour a highly defensive company, as customers tend to want to visit a bottle shop during both good times and bad. That's why I'd love some Endeavour shares in my own portfolio.
Despite the (subjectively) unfortunate share price rebound, Endeavour is still looking pretty cheap from where I'm sitting. It's well below the $8-plus levels we saw only last year and today sports a fat, fully-franked dividend yield of 4.73%. If Endeavour goes back below $6 a share this August, I might have to bite the bullet on this one.
