Morrison (wm) Supermarkets Share Discussion Threads

[loganair] 05/7/2020 22:32

Once Aldi and Lidl have completed their store expansion plans my predicted possible market share for each of the supermarkets is as follows:


Tesco.........24.1%
Sainsbury's...13.0%
ASDA..........12.8%
Lidl..........12.0%
Aldi..........11.5%
Morrisons......8.0%

[loganair] 05/7/2020 22:16

This means over the next few years Aldi & Lidl will probably take a combined further c9% market share.

[loganair] 05/7/2020 17:34

This will potentially give Aldi a further 3% to 3.3% market share in the next 5 years, giving them c11.5% market share while Morrison's falling back to c9.5% market share. Just think at one point Morrison's had close to 15% market share.

This is going to push Morrison's well back into 5th place by market share.

[albert3591] 19/6/2020 19:47

Friend of mine has taken redundancy from Morrison’s,he said they are losing very experienced people who are being replaced by kids who know nowt,I fear for this lot if they carry on this way.

[muffinhead] 09/6/2020 16:17

Probably about right

With employees being furloughed and Brexit to come, I read somewhere that many immigrant workers have gone or will be going back home. Possible shrinking demand from this group who were familiar with the Aldi/Lidl brands

Cov-19 has encouraged a bigger shopping basket and big four are better placed

Instead of setting up new Lidl stores in a mature market, why not make a bid for Morrisons and become part of the big four group with a 15% market share with 2% profit margins? The early Uk expansion phase made sense against indigenous competition with fat margins. Not any more imo

[essentialinvestor] 08/6/2020 13:52

Lidl plan to open 22 new stores just in Surrey.

I cant see how trading gets any easier for MRW over the medium term?.

Anyone have a different outlook on this?.

[buywell3] 04/6/2020 07:41

Sorry but buywell does not buy into the story here

FTSE 100 is in an artificial position due to MASSIVE Melt Up Multi Trillion dollar USA stimulus packages.

Long term chart here suggests 140p IMO coming again

dyor

[scotches] 28/5/2020 10:54

"Supermarket Morrisons is to open the first standalone store for its Nutmeg value fashion and home brand."

Not the most obvious development when MRW limited non-food exposure is usually perceived as a plus.

[growthpotential] 24/5/2020 23:08

Worth picking up some of these?

[gbh2] 22/5/2020 10:28

Looking at some big losses here once the OFT gets it's Teeth into the Delivery Pass Scam that Supermarkets have been running during the C19 crises.

Subscriptions should have been shut down and payments refunded for the simply fact that the vast majority of people cannot get a delivery slot !

[johnwise] 22/5/2020 07:24

Cheap, sub-standard American food... and why a U.S. trade deal could devastate our glorious countryside, writes farmer KATE BEAVAN

[albert3591] 20/5/2020 18:32

Hire charges drivers and all running costs,it’s a no brainier no money to be made with home delivery.tesco are the only ones in my opinion that have it right.

[scotches] 20/5/2020 18:28

Quite impressive that they keep coming up with further initiatives to develop the business. Turnover has surged but what about profit?

I am not sure what point Hargreaves are trying to make by indicating that MRW is not really a wholesale business.



Wholesale is about to reach an annual 1 billion. That will be profitable turnover albeit at a lower margin than shop sales.

Rather Hargreaves comment on how the crisis has forced MRW to, "up its digital game".

When did online delivery of groceries in multi-temperature vans while under-charging on delivery costs ever become a source of profit?

"All the incumbents have been cross-subsidising home delivery from their store operations,” said Nick Harrison, global retail practice co-leader at consultants Oliver Wyman. He estimates that it costs upwards of £10 to pick and fulfil each order, whereas delivery charges to the customer are half that amount. None of the big UK players disclose the sales or profits of their grocery delivery businesses separately. It is fundamentally dilutive for the main players, but they have to think about market share. They don’t want to lose that customer to another chain.”
FT.com from 2019 "The difficulties of making online delivery pay."

So let's see - profitable wholesale v non profitable online.

Meanwhile it's ex div for a near 5% yield tomorrow (3.7% without specials). Possibly a lot more once companies are not in the public gaze and allowed to return more to shareholders.

[albert3591] 20/5/2020 15:46

Spoken to several employees,they say it is not easy at stores doing home delivery.It seems they are trying to run before they can walk,I can’t see they will make any money,the over heads must be huge.

[essentialinvestor] 19/5/2020 18:53

Difficult to see what would drive the share price forward in the short term?.

The Company already appear to have cancelled out any business rates
savings through the extra costs of running the operation.

[johnwise] 19/5/2020 15:12

Morrisons food box: 35 portions of fruit and vegetables for just £22 on next day delivery

MORRISONS is launching an extra large fruit and veg box for next day delivery when ordered online. The new product offers 135 portions for just £22.- meaning a family can easily eat their 5-a-day during the course of a week.

[johnwise] 19/5/2020 13:21

Broker Forecast - JP Morgan Cazenove issues a broker note on Morrison (Wm) Supermarkets PLC


JP Morgan Cazenove today reaffirms its neutral investment rating on Morrison (Wm) Supermarkets PLC (LON:MRW) and cut its price target to 175p (from 200p).

[essentialinvestor] 14/5/2020 17:16

Thanks for the view, underscores the statement.