Looking to shakeup your S&P/ASX 200 Index (ASX: XJO) share portfolio holdings?
You've come to the right place!
Below we look at one ASX 200 share you might want to add to that portfolio and another to sell (courtesy of The Bull).
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Expert calls time on Bunnings owner
Commencing with the sell side, Seneca Financial Solutions' Arthur Garipoli believes it's time to take profits on Wesfarmers Ltd (ASX: WES) shares.
"This diversified retailer owns the Bunnings hardware giant, Kmart Group and Officeworks, among other businesses," said Garipoli, who has a sell recommendation on the ASX 200 share.
Commenting on Wesfarmers' FY 2025 earnings results, reported on 28 August, Garipoli said:
The company recently reported earnings in line with market expectations for most businesses. The company also revealed its retail divisions had delivered a solid start to fiscal year 2026 in response to improving customer demand and lower interest rates.
Among the highlights of those results, Wesfarmers reported underlying earnings before interest and tax (EBIT) of $4.19 billion, up 4.9% from FY 2024.
Underlying net profit after tax (NPAT) increased 3.8% to $2.65 billion. And management declared a fully franked final dividend of $1.11 per Wesfarmers share, up 3.7% from the prior final dividend.
But with Wesfarmers shares now up more than 31% in a year, Garipoli cited concerns over the company's current valuation:
While the company is performing well, we believe it may be time to trim holdings as the stock was recently trading on a lofty price/earnings ratio of about 36 times and remains overvalued at this stage of the cycle.
Which brings us to…
ASX 200 share poised to rebound
Global packaging giant Amcor PLC (ASX: AMC) got walloped following the release of the company's earnings results, released on 15 August.
Despite rising 1.0% in intraday trade today, Amcor shares remain down 18.6% since market close on 14 August.
But Seneca Financial's Garipoli believes the ASX 200 share is well placed to rebound.
"Earnings before interest and tax in the quarter ending June 30, 2025, missed consensus on lower volumes in North America," he said. "Weaker demand for rigid and flexible packaging amid higher costs were contributing factors."
Looking ahead, Garipoli said:
Amcor is continuing to focus on extracting synergies from the recent acquisition of the Berry Global business and divesting non-core assets. Amcor has a good history of generating synergies.
As for his buy recommendation on the ASX 200 share, Garipoli concluded, "The market reacted harshly to the earnings miss, which, in our view, has created a buying opportunity for a stock with a brighter outlook."
Atop a potential rebound in the share price, Amcor shares also trade on a 6.5% unfranked trailing dividend yield. The company pays out dividends on a quarterly basis.
