Sainsbury (j) Share Discussion Threads

[chiefbrody] 01/8/2019 20:17

Thought Blackpool is where peeps go to die (eventually).

[neilyb675] 01/8/2019 20:07

Dirty kebabs, cheap pints = Blackpool

[robot ic1] 01/8/2019 20:03

Obviously with folk like you there ,one might think that .

[robot ic1] 01/8/2019 13:26

Once Boris has got us out of the EU , there will be lots of money to improve areas in Blackpool , the town is improving all the time .

[tim 3] 01/8/2019 11:54

They opened a massive new one near us 2 years ago fantastic store great standards just lacks customers.

[robot ic1] 01/8/2019 11:01

yes
no
yes
no

all you questions answered ,hope this is ok , answered in order as your post.

[sooty snipes] 01/8/2019 10:54

Robot aren't you the fella from sunny Blackpool? If so can you explain to me why Sainsbury's decided to open a state of the art flagship store in the centre of the poorest area in the town? The store itself is probably the best looking Sainsbury's in the country. They probably get more shoplifters than customers. Another masterstroke from Coupe and his team.

[imperial3] 01/8/2019 09:22

loganair.

Who wrote that article?

[loganair] 31/7/2019 22:43

Is now the time to invest in Sainsbury’s shares?


After its failed merger attempt with Asda, supermarket chain J Sainsbury has been having a tough year. In the last 12 months its share price has dropped by almost 40%, and the company has been weighed by the uncertainty surrounding Brexit – food supply disruptions an on-going threat for the company depending on the exact terms of the deal (or indeed no-deal).

It may surprise you to hear that I think Sainsbury’s may be an investment worth considering.

Cheap returns:

Firstly, Sainsbury’s shares are currently offering a dividend yield of about 5.5%, far outweighing the numbers of its listed rivals Tesco and WM Morrison, which return 2.6% and 3.3% respectively. Furthermore, the share price declines of the last 12 months now make the stock cheap, with a P/E ratio of just 9, again beating Tesco and Morrison’s that both have P/E numbers in the 13-14 range.

The other number I analysed recently that cannot help but make me think Sainsbury’s shares are currently oversold is the company’s book value. Effectively measuring how much the company is worth if it were wound down right now, Sainsbury’s figure comes in at about £3.80 per share – far above today’s current price of £1.97.

Again compared to Tesco and Morrison’s, this number offers both the largest value and is the only one of the three above the current share price. Tesco’s book value is about £1.50 per share compared to the current £2.20 stock price, while Morrison’s is £1.80 vs. a £1.95 share price.

Some concern:

This isn’t to say there is nothing to be concerned about however. My main concern is due to the broad moves the world has seen in recent years away from bricks-and-mortar stores to the world of online retail. Consumers are becoming ever more tech-savvy, and the convenience of smartphones, tablets and universal broadband continue to boost online retail. Sainsbury’s, while perhaps not part of a dying industry, is certainly a key player in one that needs to adapt.

On the plus side though, all the signs are that the company is attempting to do this. Recently rumours emerged that talks may be underway with Uber Eats regarding a partnership for grocery delivery services, while the company is already participating in a two-month trial with Deliveroo, to test the viability of delivering freshly-baked pizzas.

Meanwhile, away from its core grocery ops, sales in other areas of its business have been under pressure of late, Sainsbury’s reporting earlier this month that for the 16 weeks to the end of June, clothing sales were down 4.5% while general merchandise sales were down 3.1%. It should be noted though that these are both areas very susceptible to the weather — unsurprisingly fewer shorts, T-shirts and sun loungers are sold in bad weather.

I think it is fair to say Sainsbury’s shares may not be the surest investment I have ever talked about, and it is perfectly possible that the shares will fall lower before reaching what I think is their true value. That said, I think even with concerns surrounding the future of high street retail, Sainsbury’s shares may just be worth investing in for those who can hold them for the long term.

[konradpuss] 31/7/2019 22:06

I always liked Sooty and Sweep.

I don't think that it is shown any more on T.V.

As to Coupe, I don't think he should be shown any more!

[robot ic1] 31/7/2019 21:20

sooty ,where is your partner sweep

[sooty snipes] 31/7/2019 16:15

Can someone explain to me how this t w a t Coupe has kept his job? Share price at all time lows under £2. Only in corporate Britain could this be allowed to happen. His nose must be so brown through having it up people backsides it's untrue.

[robot ic1] 31/7/2019 08:57

sorry but the shares are on special offer now ,

its down ,down ,down 90% off this week on all .

Oh and the divi is also affected .

[muffinhead] 30/7/2019 16:57

Dinner dash: The convergence of supermarkets, restaurants and takeaways is gathering pace

[tim 3] 30/7/2019 12:27

To me part of the problem is they have lost their identity.They used to be recognised for their high standards in store, good customer service and high quality of their products.Now they are no better than the others and often more expensive.Coupe has to take some of the blame for this his restructuring a few years ago resulted in many of their best staff taking redundancy.He got rid of test shops which formed the basis of their customer service model with staff trained to be helpful and friendly and measured to ensure they delivered.He also spent valuable time focusing on the failed merger while the competition particularly Tesco moved ahead.I am not convinced he has a clear vision of what he wants to achieve he just seems to be trialling a lot of different things at once hoping some will work.

[loganair] 30/7/2019 11:41

What I see of Coupe, at best he can be said to be a mediocre CEO so he does not have time on his side.

[loganair] 30/7/2019 11:10

Almost every thing I've ever bought in Poundland, I've had to return as not fit for use. Even the mint thins they sell after eating just one I had to throw away in the bin as have such a horribly sweet and sickly taste.

[imperial3] 30/7/2019 10:58

Among the discounters,I shop at Home and Bargain, and find many branded goods priced cheaper than the big supermarkets.Even their own brands are highly competitive.They seem to have their finger on the pulse.They are generally always pretty busy,which speaks volumes.

[loganair] 30/7/2019 10:36

Supermarkets seem to think that the way to make more money, is to reduce the quality of the things they sell, then raise the prices of the lesser quality items - not working I'm afraid to say.

As like me, many customers leave and go somewhere else to buy similar quality items they use to get at Sainsbury's.

[robot ic1] 30/7/2019 10:31

Qantas I am getting ready for another large spike in SPD .

another gold mine on its way .

Black gold hammering up as well

[loganair] 30/7/2019 10:28

1. Putting in restaurants in some of their supermarkets to fill up space...Tesco done that and failed.

2. Selling kosher food - what ever happened to that?

3. The latest is selling vegan food which more than likely will also go down the pan.

4. Foreign exchange kiosks, very rarely see customers in our local Sainsbury's foreign exchange kiosk, not surprising as very poor exchange rates being offered.

5. Offering tree loads of coupons - Failed


Sadly Sainsbury's TU clothing which was the best quality of all the supermarket clothing has gone right down hill in quality over the past 18 months.

[imperial3] 30/7/2019 10:17

What is Coupe going to do,to turn this ship around I wonder,now that the Asda deal is well and truly dead and buried.What is he going to do about declining market share? Doing nothing is not an option.He is certainly paid enough to come up with answers.He needs something big to make an impact on this tough market.If he feels he cannot do it,then let some other bright light(hopefully) have a go.

[loganair] 30/7/2019 10:15

It seems to me Sainsbury's need a long term plan rather then just following the latest short term Fad.