The Coles Group Ltd (ASX: COL) share price is in the red despite the broader market’s zeal on Friday.
It’s also slumping amid news that retail spending on food lifted $243.1 million last month – a 1.9% increase.
At the time of writing, the Coles share price is $17.44, 0.91% lower than its previous close.
For context, the S&P/ASX 200 Index (ASX: XJO) is currently 1.10% higher.
Let’s take a closer look at what’s going on with the ASX 200 supermarket on Friday.
What’s going on with the Coles share price today?
The Coles share price is trailing the broader market today. However, it’s joined by some of its peers on the S&P/ASX 200 Consumer Staples Index (ASX: XSJ).
The sector is one of two trading in the red on Friday. It is currently down 0.05%, with Coles coming in as its biggest weight.
Also dragging on the index are shares in A2 Milk Company Ltd (ASX: A2M) and Bega Cheese Ltd (ASX: BGA).
The supermarket’s sluggish performance comes despite the Australian Bureau of Statistics (ABS) announcing retail spending rose 0.9% last month.
Food retailing led the way, increasing 1.9% in April to reach approximately $13 billion.
ABS director of quarterly economy-wide statistics Ben James commented on the increase, saying:
The strength in retail turnover is being driven by spending across the food industries. High food prices have combined with increased household spending over the April holiday period as more people are travelling, dining out, and holding family gatherings.
Today’s dip included, the Coles share price has slumped 2.6% since the start of 2022. That means it’s outperforming the ASX 200 this year – the index has slipped 5.3% year to date.
The supermarket’s stock is also 5.1% higher than it was this time last year – outperforming the ASX 200 by nearly 4%.
The post Why is the Coles share price lagging the ASX 200 on Friday? appeared first on The Motley Fool Australia.
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More reading
- Fundie reveals 3 ASX 200 shares with major pricing power to counter inflation
- How do ASX shares typically perform following a demerger?
- ASX shares paid out a record $98b in dividends in the 12 months to March. Which are the star performers?
- Here’s why the Coles share price is tumbling 5% today
- Why I think Coles is a better ASX dividend share than Woolworths
Motley Fool contributor Brooke Cooper 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 has positions in and has recommended COLESGROUP DEF SET. The Motley Fool Australia has recommended A2 Milk. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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