Coles Group Ltd (ASX: COL) shares are up around 2% in lunchtime trading on Tuesday. At the time of writing, Coles shares are changing hands at $23.19 each.

The increase means Coles shares are now up around 9% for the year to date, and have climbed 12% over the past 12 months.

Today’s increase comes off the back of the company’s FY26 results posted to the ASX ahead of the market open this morning.

Coles announced a 2.8% increase in its group sales revenue, a 9.9% increase in its EBIT excluding significant items, and a 13.7% increase in its NPAT excluding significant items.

The robust result saw management declare a fully-franked total dividend of 78 cents per share for FY26, an increase of 13%.

But, while it’s worthwhile to understand how the supermarket giant and its shares have performed over the past 12 months, investors should also keep an eye on what lies ahead.

For the business itself, Coles said it is ramping up its investment in new stores, renewals, and technology, including accelerated eCommerce and supply chain automation.

This could improve productivity and market share over the longer term, but it also raises near-term capital requirements.

But what about the Coles share price? What can we expect to happen next?

If I buy $5,000 of Coles shares today, what could they be worth in 12 months’ time?

Most experts are positive about the outlook for ASX consumer discretionary shares.

Market Index data shows that the majority of brokers have a buy rating on Coles shares. The $24.28 average target price implies a potential upside of around 5% at the time of writing.

Sentiment is similar on TradingView. The majority of analysts (eight out of 17) have a buy/strong buy rating on Coles shares, and another seven rate Coles shares as a hold. Two experts have a sell or strong sell rating.

The average target price of $24.07 implies a potential 4% upside over the next 12 months, at the time of writing. But analyst forecasts range from a 9% downside to $21 to a 17% upside to $27 over the next 12 months.

Assuming the average target price comes to fruition, that means a $5,000 investment today could be worth around $5,200 to $5,250 in 12 months time.

But if the more bullish expert forecasts are correct, a $5,000 investment today could climb to $5,850 by this time next year.

The post By August 2027, $5,000 invested in Coles shares could turn into… appeared first on The Motley Fool Australia.

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• Coles Group grows profit and dividend as Supermarkets shine in FY26
• 5 things to watch on the ASX 200 on Tuesday

Motley Fool contributor Samantha Menzies 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Some investments become more attractive to me because of how little attention they require.

The Vanguard Diversified High Growth Index ETF (ASX: VDHG) is designed to give investors a diversified portfolio through a single investment.

For someone looking decades ahead, I think that simplicity can be a major advantage.

One Vanguard ETF does a lot of work

The VDHG ETF invests across Australian shares, international shares, emerging markets, smaller companies, and defensive assets such as bonds.

Its portfolio is tilted heavily towards growth assets, with roughly 90% invested in shares.

I think that makes sense for investors with a long timeframe who are prepared to accept periods of market volatility in exchange for greater growth potential.

More importantly, investors do not need to decide for themselves how much money to allocate to Australia, the US, Europe, Asia, or emerging markets.

Vanguard handles those allocations within the fund.

That removes a surprisingly difficult part of investing. It is easy to spend too much time wondering whether one market has become expensive or another is about to outperform.

With this Vanguard ETF, I can simply own a collection of markets and let the portfolio develop over time.

It automatically stays diversified

Another feature I like is rebalancing.

Markets rarely move together. Australian shares might have a strong year while international shares struggle, or technology stocks might surge while another part of the market falls behind.

Over time, those movements can push a portfolio away from its intended allocation.

The VDHG ETF takes care of bringing its investments back towards their target weightings.

For an individual investor, that means fewer decisions. There is no need to work out what to sell, what to buy, or whether a strong-performing market has become too large a part of the portfolio.

I think reducing the number of decisions investors need to make can make it easier to stay with a strategy for the long term.

It can grow with an investor for decades

This Vanguard ETF also has a quality I think is sometimes underestimated. That is that it can grow with an investor.

Someone could buy the fund with their first few thousand dollars and continue adding to the same investment as their portfolio becomes much larger.

The underlying diversification is already built in.

That makes it quite different from buying a handful of individual shares, where a growing portfolio may eventually need more holdings to avoid becoming too concentrated.

An investor could simply keep contributing when they have money available and reinvest dividends along the way.

Given enough time, the combination of regular investing, market growth, and compounding could do much of the wealth-building work.

Foolish takeaway

This Vanguard ETF is the type of investment I could imagine buying and leaving alone for a very long time.

It is diversified, growth-focused, automatically rebalanced, and requires very little ongoing decision-making.

Sometimes making investing easier is one of the best ways to give compounding the time it needs to work.

The post Why I think this Vanguard ETF could be one of the best to buy and hold forever appeared first on The Motley Fool Australia.

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• 5 top ASX ETFs for beginner investors in August
• How much superannuation do I need to retire comfortably at 60?

Motley Fool contributor Grace Alvino 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Wesfarmers Ltd (ASX: WES) shares have been flat around $82.35 on Tuesday, but the retailer has endured a rough year, falling 7% over the past month and 13% over 12 months.

Interest rates, inflation and persistent cost-of-living pressures have weighed on the company behind Bunnings, Kmart Australia, Officeworks and Priceline.

The shares have also been volatile, trading between a 2026 low of $71.26 in May and a high of $92.96 in July. Now, investors are looking towards Thursday’s FY26 results for clues about what’s next.

Plenty to like, but valuation concerns remain

There’s plenty to like about Wesfarmers shares. Kmart continues expanding its Anko brand internationally, with five stores already opened in the Philippines and another five planned by the end of FY27.

Bunnings is also pushing into new categories, including pet products and automotive accessories, while Kmart is testing larger K Home stores to capture more of the furniture market. Both remain exceptional retailers, backed by strong brands, competitive pricing and impressive returns on capital.

Wesfarmers is also developing potential growth engines through Priceline, OnePass, customer data, retail media and its Mt Holland lithium project. The company is also deploying artificial intelligence across merchandising, marketing, supply chains, and productivity.

But the valuation could be the problem. At around $82.35, Wesfarmers shares trade at almost 31 times estimated FY27 earnings. That’s a hefty multiple that leaves little room for disappointment.

Investors will therefore be watching FY26 group financial metrics and the final dividend closely. The results could set the tone for Wesfarmers shares in the months ahead.

Experts are turning bearish

According to TradingView data, nine of 15 analysts rate Wesfarmers shares a strong sell. Five have a hold rating and just one analyst recommends buying the shares.

The average price target of $77.56 implies around 6% downside from the current price, while the most bearish forecast sees the shares plunging more than 20% to $65.10 over the next 12 months.

Morgan Stanley has a sell rating and $79 price target. The broker recently warned that the rally in consumer discretionary stocks has “run ahead of fundamentals” and may not prove durable.

Alto Capital’s Tony Locantro is also bearish. He believes Wesfarmers’ quality and long-term growth prospects are already largely reflected in the valuation, leaving less room for upside if expectations aren’t met.

With FY26 results just days away, Wesfarmers investors may need to ask whether its exceptional businesses can justify an exceptional valuation.

The post Wesfarmers shares: Why experts are saying sell appeared first on The Motley Fool Australia.

More reading

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• How much is needed in superannuation to target a $5,500 monthly passive income?
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• How ASX dividend growth shares can build lasting income
• 3 ASX 200 shares I’d buy for the next decade

Motley Fool contributor Marc Van Dinther has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. The Motley Fool Australia has recommended Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.