Sainsbury (j) Share Discussion Threads

[iceagefarmer] 01/10/2022 13:07

never been a better time for a sainsburys takeover... 325p would be nice

[iceagefarmer] 01/10/2022 13:05

bought some friday 175p

[loganair] 30/9/2022 16:46

p007 - Private equity look to buy companies that have lots of assets they can strip and sell. Out of the big 6 supermarket chains Sainsbury's has by far the least number of freeholds.

[peeks007] 30/9/2022 15:17

Private equity usually look to buy decent companies on the cheap and this one is certainly cheap. Just from 10 to 12 years of earnings they'd probably have recovered what they paid for it. Maybe they could sell off the Argos brand too.

As for the better pick - Net asset value per share: Tesco 206p vs Sainsburys 360p. Current SBRY market cap is almost half the net assets on it's balance sheet. Not to mention they also have the Argos business. Applying a fair P/E of 12 to the current price gives EPS of 14.5p, which I think in the long term is lower than what it is capable of earning.

[debsdowner] 30/9/2022 14:15

Same to Marks market cap under £2 billion !

[iceagefarmer] 30/9/2022 14:05

plus at £4bn bloody takeover target if morrisons was

[iceagefarmer] 30/9/2022 14:03

yeah but easy for sainsburys to fiddle with the prices in this inflationary environment..dont tell me they are ethically minded afterall run by j boys...bet theyve made a fortune on fuel prices...thats why im buying

[dipa11] 30/9/2022 09:41

Https://www.bbc.co.uk/news/business-63086562

[debsdowner] 29/9/2022 14:59

Sainsburys on 7 year low.

[gswredland] 29/9/2022 14:28

Why are these a better pick than TSCO please peeks?
Interesting to hear your view..

[loganair] 29/9/2022 14:05

p007 - I do not think Sainsbury's will be taken over as has by far less freeholds then any of the top 6 supermarket groups which means why would private equity have a go as few assets to strip out of Sainsbury's.

This only leaves another supermarket group. Not Aldi or Lidl and the others in the UK are too small to have a go which would only leave one from the continent.

Also money is becoming harder and harder to find and even more so cheap money.

The only other would be a sovereign wealth fund...with QIA selling down from 25% to circa 15% shows sovereign wealth funds would also not really be interested in Sainsbury's.

[peeks007] 29/9/2022 13:30

loganair I can see it hitting the 150 before a rapid move back up. Just like Morrisons went, this one is going to be taken over. My guess at a bid of around 260-280p. Even if it isn't I can still see a dividend around 15p/share from 2024 onwards which would make a decent return for a stable sector. My main worry is that Sbrys customers may have switched to Aldi or Lidl indefinitely. These shares certainly seem a better pick than Tesco.

[porsche1945] 29/9/2022 12:12

Once government fails and general election sterling and stocks should take off, have to get rid of the brexit loonies first tho. Won’t be long, economy cratering.

[loganair] 29/9/2022 10:46

I edge towards it was the United States who blew up the Nord Stream pipe lines as there is no advantage for the Russians to do so.

Basically the United States has declared war on Russia.

[giltedge1] 29/9/2022 10:44

Unfortunately caught in a pincer movement, high fixed property costs, rising wages, business rates, FX costs on imports, lose on online orders, Aldi & Lidl squeezing margins .....

[spob] 29/9/2022 10:42

Russia blowing up European gas pipelines seems to be affecting sentiment in the markets


Basically we are at war with russia now

Whether we like to admit it or not

[nick rubens] 29/9/2022 10:25

oracle looking at your prior posts I think you've been long for a while? lol

[oracle14] 29/9/2022 09:21

Just gone long price target 239.9 I like try to be precise ..lol

[nick rubens] 29/9/2022 09:17

Aldi have reported a surge in sales so someone is losing customers.

Sainsbury has debt which will need rolling over and there will be a higher interest rate to do so. Add to that Argos sales likely slowing due to the cost of living and it explains the seemingly 'cheap' share price.

Is it all in the price ham1? Is the dividend safe?

[hamhamham1] 29/9/2022 08:18

Also just bought some SYNT

[debsdowner] 29/9/2022 08:17

Sainsburys hits a new low and £ falling again will increase inflation.

[loganair] 29/9/2022 08:13

There are 6 stages that any empire goes through - What is happening at Tesco shows that Britain is not only in the 6th and last stage of empire, it is in the final stages of the last stage of empire.

spob - London is full of poor immigrant foreigners??? isn't it??? as are many other of the cities in England.

And Liz Truss says she wants to bring more of them into the UK.

Does Tesco in Northern Ireland have this same problem???

[spob] 29/9/2022 08:06

"Tesco's is not a war zone, its just a supermarket"

Have you been to London recently ?

[loganair] 29/9/2022 08:01

My bottom has always been 120p / 150p.

[hamhamham1] 29/9/2022 08:00

Just bought 3000 x these at under 175p. Bargain.