The S&P/ASX 200 Index (ASX: XJO) closed up 0.8% in the month just past, with Coles Group Ltd (ASX: COL) shares dragging on those gains while Woolworths Group Ltd (ASX: WOW) shares helped lift the benchmark index.
Closing on Friday trading for $21.72 apiece, Coles shares fell 1.8% in May.
Woolworths shares went the other way, gaining 2.4% to close the month at $35.23 each.
Here's what's been happening with the ASX 200 supermarket giants.
Image source: Getty Images
Woolworths shares rebound from 30 April crash
There was no fresh price-sensitive news out from Woolworths in May.
But the ASX 200 stock looks to have benefited from some bargain hunting in May following the big fall it suffered on 30 April.
Indeed, Woolworths shares closed down 7.8% on the last trading day of April as investors responded negatively to the company's third-quarter (Q3 FY 2026) sales update.
Positively, Woolworths reported a 4.5% year-on-year increase in total sales to $18.1 billion.
However, citing uncertainties and rising costs fuelled by the ongoing Middle East conflict, the company scaled back its expectations for its Australian Food earnings before interest and tax (EBIT) growth for FY 2026. While EBIT growth in Australia is expected to remain in the mid to high-single digits, management said they no longer expect earnings growth to come in at the upper end of that range.
"The conflict in the Middle East is creating greater uncertainty for our customers, suppliers and team at a time when cost-of-living pressures are already acute," Woolworths CEO Amanda Bardwell said.
Coles shares face legal setback
Coles shares kicked off the month outperforming Woolworths shares, gaining 3.7% on 1 May, while Woolies stock slumped 0.7%.
That strong start to the month followed the release of Coles' own third-quarter (Q3 FY 2026) results.
Highlight for the quarter included a 3.1% year-on-year increase in total sales revenue to $10.70 billion. eCommerce sales showed particularly strong growth, up 13.6% to $1.33 billion.
Commenting on the quarterly results that helped boost Coles shares on the day, CEO Leah Weckert said:
Achieving consistent sales momentum for the period over multiple years demonstrates our commitment to remaining focused on long term outcomes whilst successfully navigating short term volatility in market conditions and supply chains.
However, Coles shares came under some pressure later in the month, falling 2.2% on 14 May, following the outcome of the legal action launched by the Australian Competition and Consumer Commission (ACCC).
The ACCC alleged that Coles deceived its customers by marking products in its 'Down Down' sales campaign as discounted shortly after their original prices had been lifted.
On 14 May, investors learned that the court found that 13 of Coles' 14 Down Down tickets "were misleading".
How have Coles and Woolworths shares performed in 2026?
Halfway through the first trading day of June, Coles shares are up 1.4% year to date, while Woolworths shares have gained 18.7% over this time.
Atop those gains, both ASX 200 stocks have also already paid out their interim dividends in 2026.
