Morrison (wm) Supermarkets Share Discussion Threads

[scotches] 04/2/2021 21:07

Guardian on ASDA financing



Asda buyers robustly get down to leverage
“We are putting in place a robust capital structure,” say the Issa brothers about the financing of their £6.8bn purchase of Asda. Really? Compared to what?

This is a private equity-backed deal and it shows. Asda’s petrol stations are being sold (to the Issas’ EG Group inevitably), a chunk of the warehouses will be off-loaded via sale-and-leaseback deals and £3.5bn ($4.7bn) of debt is being injected into the mix.

Demand for warehouses is strong and corporate debt markets are full of buyers, so the financial plan should find financiers. Come on, though, this is an old-fashioned leverage buyout. It looks like Asda will be approximately four times leveraged as a ratio of top-line earnings.

Call that robust if you wish. Others would describe it as racy in a supermarket sector that has three strong – and more conservatively-financed – competitors.

[philanderer] 03/2/2021 12:05

'Average British family spent extra £50 on groceries in January'

Sales of child-friendly lunch ingredients, vegan foods and alcohol underpin £1bn surge in supermarket spending

[scotches] 02/2/2021 16:28

"Of the Big Four supermarkets, Morrisons increased sales the fastest, with growth of 14.3%. It gained share for the eighth month in a row, now claiming 10.4% of all sales."

What would poor results do to the sp? Market perhaps considering that sales at the expense of profit (eg online, key worker discounts, home delivery) are not worthy of a mark up.

Currently 28p lower than when Potts took command in 2015.

[philanderer] 02/2/2021 14:09

This one's a bit unloved at the moment.

[hpowell1] 01/2/2021 15:58

Morrison’s will be good for the long-term. These supermarkets will be some of the last businesses standing when the recessionary forces take hold later this year.

[nerdlinger] 29/1/2021 18:09

There was some fluctuation during the day and over other days in the last fortnight but really, what's the point of hedgies?

percentage of shares in issue declared shorted, date, closing price:

GLG Partners LP WM MORRISON SUPERMARKETS 0.43 27/01/2021 185.25
GLG Partners LP WM MORRISON SUPERMARKETS 0.69 22/01/2021 186.80
GLG Partners LP WM MORRISON SUPERMARKETS 0.71 18/01/2021 181.45
GLG Partners LP WM MORRISON SUPERMARKETS 0.60 15/01/2021 182.55
GLG Partners LP WM MORRISON SUPERMARKETS 0.58 14/01/2021 185.30

[johnwise] 28/1/2021 08:29

Communist China Virus Update:

Beer destined for pubs goes on sale in Aldi

by Darren | Thursday, 28 January, 2021 | Beer News

Aldi is to sell off beer made by 13 breweries which should currently be in pubs and which would, consequently, have gone to waste.

[scotches] 26/1/2021 14:17

Institutional shareholders list will need a revision after Schroder chopped their position by 50%.



Silchester International Investors LLP
AS OF 05 NOV 2020
289.36m 12.01%

Schroder Investment Management Ltd.
AS OF 19 MAR 2020
231.85m 9.62%

Threadneedle Asset Management Ltd.
AS OF 16 MAR 2020
177.92m 7.38%

Majedie Asset Management Ltd.
AS OF 16 MAR 2020
119.98m 4.98%

First Eagle Investment Management LLC
AS OF 13 MAR 2018
114.30m 4.74%

Brandes Investment Partners LP
AS OF 16 MAR 2020
112.32m 4.66%

Deutsche Bank AG (Broker UK)
AS OF 16 MAR 2020
112.24m 4.66%

BlackRock Fund Advisors
AS OF 16 MAR 2020
67.31m 2.79%

The Vanguard Group, Inc.
AS OF 01 JAN 2021
66.31m 2.75%

RWC Asset Management LLP
AS OF 01 JAN 2021
48.61m 2.02%

[muffinhead] 25/1/2021 13:10

Supermarket operational cost adjustments are going to interesting when the seasonal flu/covid season abates in Spring, the vaccine rollout programme matures and hospitality/retail/travel opens up.... all negative headwinds

The experience of Covid for supermarkets so far has been booming sales and poor bottom line. Cashflow for Morrisons is forecast to be negative for 2020/21

In my own neighbourhood the "fine young cannibals" Lidl and Aldi open up new stores in 2021

[nerdlinger] 22/1/2021 17:38

Luxury:) The only way I can get a Tesco C&C slot is to book it within seconds after midnight 3 weeks in advance.

[ygor705] 22/1/2021 16:45

Having successfully road tested the Prime/Morrisons delivery model in Xmas week my second attempt to use the 1 or 2 day delivery system has been a disaster. It has been 6days now and, despite joining the online queue for a delivery slot, I haven't heard a thing from them. I've contacted Amazon twice to complain and each time they've given me a modest rebate on my Prime subscription. I suspect that Amazon will be embarrassed by this as they are clearly offering a sub standard Prime service in this area. It will also hurt their pride to be falling down on logistics. Nevertheless, it does show that Morrison's are absolutely flat out with online deliveries.

[philanderer] 21/1/2021 00:28

Marcus Rashford praises Morrisons for increasing capacity of its meal delivery service for school children


[...]

[thewheeliedealer] 20/1/2021 21:22

Hi all,

My mate Peter @Conkers3 and myself did a ‘Twin Petes Investing’ Podcast recently and part of our discussion includes MRW which C3 holds and I am considering buying myself. This is an unusual episode because for the first time we had a Special Guest on the show and the response has been hugely favourable (here’s a clue: he’s not the usual ‘Guru’ that all Podcasts have).

And as always we chatted about loads of other Stocks and Ideas for research and a fair bit of educational stuff with regards to Investing and Portfolio Management.

Anyway, if you use Youtube, Apple, Audioboom, Overcast or Spotify you can find it under the 'Conkers Corner' Channel (you want Podcast TPI 40) and you can find it on Soundcloud at the link below.

I hope you enjoy it and find it useful, we try to keep them light and they are totally unscripted, not like all the stuffy financial fodder you are probably more used to !!

Happy New Lockdown !! WD
@wheeliedealer

[energeticbacker] 20/1/2021 11:40

Investor's Champion is going to drill down into their Income Boosters holdings and ensure they still satisfy their key criteria for dividend investing.

They're starting with a sector that's seen a dramatic surge in demand over the last year - supermarkets. #land #mrw

[muffinhead] 20/1/2021 08:23

Food deflation

[michaelmcandrew] 17/1/2021 10:37

Various sources are claiming that having been rebuffed for Carrefour, Couche-Tard is still hungry for expansion. What price MRW?

[nerdlinger] 15/1/2021 17:19

GLG declared a short position, first here since 2 years ago when they were short for just a couple of weeks when the share price went up about 8%. Might be a positive indicator.

[cbr60000] 15/1/2021 13:27

20.5m buy an hr ago, double the usual daily average....

[scotches] 14/1/2021 16:24

The opportunistic $20B bid for Carrefour by a Quebec group has prompted the French government to intervene with regard to the potential risk to French security of food supply "What is at stake is the food sovereignty of the French people". The bidders are Couche-Tard a 9000 location convenience and petrol forecourt operator and from the same line of business as the new owners of Asda.

There was a tiny glimmer of reaction on Wednesday in the MRW and SBRY share price as investors indicated a potential read across to UK groups as possible targets.

MRW was last mooted as a takeover target in September 2019. A large freehold estate, a multi location food manufacturing and wholesale division, pension surplus and a relatively small asking price might prompt a private equity bid.

[philanderer] 13/1/2021 15:24

It's trying to break out, without much joy at the moment :-)

[philanderer] 13/1/2021 14:49

Coronavirus: Morrisons and Iceland hire thousands

[philanderer] 13/1/2021 13:01

Market report..

In the FTSE 100, supermarkets J Sainsbury and Wm Morrison Supermarkets were up 2.8% and 1.9% respectively, after French peer Carrefour was subject to bid interest.

The French grocer said it has been approached, "in a friendly manner", by Canada's Alimentation Couche-Tard Group, over a combination project, but stressed discussions were preliminary. Carrefour shares were up 14% in Paris.

"The waves from any Carrefour/Couche-Tard tie-up may lap up against British shores quite gently. That being said though, the Issa Bros/TDR (private equity) are in the process of buying the majority of the equity in No.3 British grocer, Asda, from Wal-Mart. With so much low priced money in the system we can, therefore, expect more such activity, especially for asset backed and defensive entities," Shore Capital's Clive Black said.

"To complete the blue sky thinking, Amazon may yet seek to follow the path it has taken in the US, where it acquired Whole Food Markets for USD14bn in order to gain a real foot hold in the grocery market. We would not rule out a similar step in time in the UK, should it seek to become a serious player, noting its investment in Deliveroo in 2020; Amazon and Wm Morrison Supermarkets have a formal commercial relations."


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