Tesco Share Discussion Threads

[ladeside] 17/11/2016 09:10

1.The Tesco turnaround plan is now in full swing.
2.The loss making parts of the business and non core assets been sold off.
3.Painful and unpopular decisions have been made with the DB pension scheme which resulted in the closure of such, again saving multi millions.
4.Market share is now back on the increase.
5.Public Opinion has swung back in favour of Tesco following the Unilever issues.

That's just for starters.....

[vaneric1] 17/11/2016 09:00

I have already taken a profit from here by top slicing but this is a copy and paste from my accounting programme yesterday, so I'm still content to hold.

Tesco is the best performing investment in your current portfolio.
It’s up 31.64% from your weighted average of £1 62.

[pierre oreilly] 17/11/2016 08:53

I didn't ask what your job was, I asked why invest here.I phrased the last post wrongly and thanks for the quite funny reply. Maybe I should have said wouldn't you find it interesting if you thought a share was a no hoper and others thought it a no brainier.

[neilyb675] 17/11/2016 08:49

Riveting 👀

[pierre oreilly] 17/11/2016 08:43

If I were thinking of investing, I certainly wouldn't ask any questions here, so for me, your point is moot. But it's still interesting to see what factors others think of and deduce this is worth sticking a few grand in when my thoughts are that it's such an obvious no hoper for at least a few more years. Why do I come to that conclusion and others come to the exact opposite? That's interesting isn't it?

[nathdani] 17/11/2016 08:34

If your not invested or going too why bother asking a BB a question like this?

[pierre oreilly] 17/11/2016 08:26

Well that solves your problem of trying to hack together a rational response to the points raised in the rest of the post then. Convenient eh?

[neilyb675] 17/11/2016 08:22

"Went into aldi east grinstead yesterday"....

I stopped reading at that point.👀

[pierre oreilly] 17/11/2016 08:20

Lidl and aldi are huge companies. We were in magaluf last week, there were several lidl and several aldi within a couple of mile radius.And no, mag isn't my usual holiday destination, it was exceptional circumstances we ended up there. Loved the excellent quid a bottle cava, what a ripoff that is in the uk.

[ladeside] 17/11/2016 08:13

Pierre, you could use the same anecdotal argument with virtually any sector. The facts are though that Tesco is once again increasing market share and ultimately the German discounters are still mickey mouse players in this market.

[pierre oreilly] 17/11/2016 08:11

Well my argument to that is that there things aren't black and white or all or nothing. They are about small percentage swings in market share. If tescos share drops from 30% to 29% (e.g.) of the market, the effects on profit can be huge. If that is accompanied by a drop in prices, then the effect can be bigger still.

[cocker] 17/11/2016 08:03

Pierre , great argument. Mine is, why would anyone buy a bmw when they can buy a astra or champagne when there is bucks fizz.

[neilyb675] 17/11/2016 07:49

Lovely post hippo.

[neilyb675] 17/11/2016 06:21

Sue their sorry asses.

[noirua] 16/11/2016 23:07

My order due on 8th November has still not arrived at my chosen Tesco store on 16th November. Obviously I'm keeping all order details. Have now emailed Tesco and await further reply or phone call.

[hippo] 15/11/2016 17:41

Discounters continue to grow, but mainly through aggressive expansion, which is peaking imho.Good to see tesco holding their own, and the only one of the big 4 to show increased market share and sales.

[alphorn] 15/11/2016 15:06

x5 - Tesco is one of my net longs so happy to see it rise. ;)

[xxxxxy] 15/11/2016 15:04

Think 250 as well. Say before this Xmas

[kiwi2007] 15/11/2016 14:38

BE
The two headlines here are that deflation’s disappearing (for obvious reasons) and the discounters are growing at the slowest rate for five years (ditto).
BE
Tesco sales up 3.6%, strongest growth since July 2013.
BE
And added 64bps of market share
PM
I like this Tesco recovery theme
PM
It’s overdue
PM
It’s Tesco
PM
It’s the biggest grocer we have
BE
Also, the current round of Tesco store rejigs look quite nice. Passed one in ….. Ealing Broadway, was it? ….. at the weekend. They’ve gone for wood laminates and a restrained, grey-blue-silver colour scheme.
BE
It’s much less shouty.
PM
Emoticon
BE
Anyway, this is the “first time Tesco has gained more market share than Aldi and Lidl combined (44bps) since October 2011” says Barclays.
BE
Who also say:
BE
Tesco’s branded sales saw an increase but most of its share gains were made through its private label products, both at the entry and premium levels. Tesco’s ‘Finest’ range has grown by 6% in the past 12 weeks, notably in crisps, fresh meat and chilled convenience – this will be important if Tesco is to deliver its margin target of 3.5-4.0% by ‘maxing the mix’. Kantar Worldpanel reports that much of Tesco’s growth has come from more affluent shoppers returning to the store, and average spend per trip is up by 2.1% to £20.69.

· ASDA’s recent weak performance has ameliorated – although sales are still down 3.9% – with stronger sales in its own-label lines this period.

BE
· Sainsbury (sales down -0.9%) and Morrison (sales down -1.3%) are broadly as we would have expected.

· The industry remains in deflationary territory, but over the last 12 weeks food deflation has fallen to -0.5%, from -0.8% last time. This is the lowest rate of deflation since October 2014 and the second month in a row that we have seen a 30bps sequential move – indicating a rapid rate of change. This is the 28th consecutive period of grocery price deflation. Deflation particularly impacted major categories such as poultry, bacon, sausages and detergents.

· Bearing in mind the food inflation data is a 12-week average, the chances are that deflation might be close to zero as we speak. This suggests that FX is indeed pushing the industry out of deflation.

· From an industry perspective, growth was +0.5% compared with +0.1% last month – on a 12-week rolling view, growth decreased slightly to +0.4% from +0.5% previously.

· Combining Aldi and Lidl, their growth slowed to ‘merely’ 6.4% with 44bps of share gains. This is their lowest growth rate on both measures for many years – you have to look back to December 2010 to find lower growth on a 12-week basis.

· The difference in growth rates between Tesco and the discounters has fallen to 6.2ppts, the lowest gap since late 2010 (see Figure 2 below). Over the most recent four weeks the gap is down to just 2.8ppts.

· Looking at the other retailers, Iceland has continued to deliver strong growth (+12.9%), but Waitrose has recorded a second month of just 0.3% growth.

BE
And Goldman, for a bit of grumbling.
BE
For the listed grocers this can be seen as a broadly positively release.
Deflation eased slightly, market growth accelerated and the discounters
continue to take sequentially less market share. We therefore expect a
broadly positive reaction to this print. However, we would note that most
of the growth improvement is coming from a base effect, with little
sequential change on a 2-year basis. We would also note that volume
growth appears to be slowing slightly.

[chinese investor] 15/11/2016 13:59

Blue Sky Til 250p !

[qs99] 15/11/2016 08:25

wow looking very strong IMO....HSBC new target is £2.60 so no reason this shouldn't be through £2.20 soon ish DYOR.