Sainsbury (j) Share Discussion Threads

[loganair] 05/11/2020 08:33

It also said roles will go with the imminent closure of 120 Argos stores, which is part of a strategy to shut 420 standalone Argos branches over the next three-and-a-half years.

By the end of the restructuring programme, Sainsbury's said it expected the total number of standalone Argos outlets to be about 100.

The aim was to make Argos "a simpler, more efficient and more business". Products from the Habitat brand will also be more widely available in the stores and via Argos.



The cost-cutting plan comes after Sainsbury’s slid to a pretax loss of £137m in the six months to 19 September from a £9m profit in the same period a year before, as total sales slipped 1.4%. Sales were hit by a fall in petrol and clothing sales which offset an 8.2% rise in sales of groceries and 7.4% rise in general merchandise led by Argos.

However, the company said it would pay out £232m in dividends – almost the same amount as it claimed in business rates relief from the government. The payout decision – which Sainsbury’s delayed by several months – comes despite similar payouts by Tesco and Morrisons drawing heavy criticism.

Sainsbury’s said it had faced one-off costs of £438m related to the closure of Argos stores and other measures as well as £290m on protective measures for staff and customers during the pandemic in the half-year period.

[loganair] 02/11/2020 12:26

Sainsbury's is tipped to restart dividend payments this week despite a row over it receiving a huge tax break and a second national lockdown.

City analysts said they expect the supermarket to give the green light to dividends again – with analysts at Barclays pencilling in a £220 million payout to shareholders.

That assumes the chain pays both a dividend for the past six months and a 'catch-up' for a payout it postponed earlier this year.

Shore Capital analyst Clive Black believes Sainsbury's will resume dividends. He said: 'Retail investors and pensioners who have no interest coming in from their savings have seen dividends from banking, insurance and oil dry up and are increasingly looking to supermarkets as a source of income.'

Black said payouts were justified because supermarkets had invested in adapting stores for social distancing and hadn't furloughed employees.

Sainsbury's, which owns Argos, is expected to report a 15 per cent rise in retail profits.

[loganair] 02/11/2020 12:24

Sainsbury’s could sell banking arm:

Sainsbury’s new chief executive is considering a sale of the company’s banking arm as record-low interest rates continue to threaten its profitability.

Simon Roberts, who took over from Mike Coupe as chief executive in June, has sought advice from UBS on a potential sale of Sainsbury’s Bank, according to Sky News.

The possible sale of the banking unit which provides products including mortgages, credit cards and insurance to more than 2m customers, follows a difficult period for small and medium-sized banks. Most recently the Covid-19 has triggered a slowdown in demand for travel money services and cashpoints.

A sale would be Roberts’ first big move after taking over. In September last year Sainsbury’s unveiled plans to cut the group’s annual costs by £500m over five years by measures that included closing some Argos stores and reducing financial support for its bank.

Sainsbury’s Bank reported a pre-tax profit of £5m in the year to February 2020, up from a pre-tax loss of £34m in 2018-19.

[spob] 01/11/2020 16:12

1 hour ago, Daily Mirror

[spob] 01/11/2020 16:11

Anyone expecting panic buying this week.


with memories of empty shelves from the previous lockdown fresh in customers minds

leading to rationing of individual products

and then stores closing early to allow restocking overnight

[paulo435] 01/11/2020 13:05

Interims out this week - expecting a good climb unless whole market takes a hit from Covid, American elections etc. Article in mail on Sunday today “SainsburyR17;s is tipped to restart divis”. Also expected 15% increase in retail profits. Also talk of potential disposal re the banking arm to strengthen balance sheet.

[spob] 16/10/2020 07:12

Yeah sure, was just reflecting on the apparent lack of any logic or consistency in the decision making process at Sainsbury's.

Maybe they use coin flipping to decide which way they will go next.


Just my opinion, please ignore my gibberish

[rolo7] 16/10/2020 02:48

The retailer has the right to sale products under its terms maybe allowing single shoppers could come under that classification?

[spob] 15/10/2020 16:17

Not long ago, Sainsbury's were saying they would not enforce the wearing of masks in stores (as was made compulsary by the government) in order to avoid confrontation between staff and customers.

Now they will be confronting customers who shop together, even though this has not been put forward by the government.


Interesting

[loganair] 15/10/2020 16:00

Following the tightening of coronavirus restrictions, Sainsbury’s has announced some major changes to its stores.

They involve changing who can shop in-stores at any given time.

Due to the rising number of coronavirus cases across the country, the supermarket chain is telling customers to shop “one adult at a time”.

Sainsbury’s has announced this change, hoping it will “keep people a safe distance apart”, and because it also “helps to reduce quests to get into stores”.

That means only people who are shopping alone will be let into the store.

Staff at Sainsbury’s stores will be asking groups with more than one adult to only choose one to send inside.

The other adults will be asked to wait outside the shop.

Those with children are welcome to bring them into store, providing they aren’t able to stay at home.

Sainsbury’s is also limiting the number of people in stores at any given time.

A statement from the supermarket chain adds: “We have also put queuing systems in place outside our stores and ask you to queue at a safe distance of two metres apart."

“We have placed clear markings on shop floors to help you know what a safe distance is.”

[loganair] 14/10/2020 10:29

The billionaire brothers who bought Asda for £7billion are facing questions over their decision to transfer ownership of the British supermarket to the tax haven of Jersey.

Under the deal struck by Mohsin and Zuber Issa, who were made CBEs in the Queen's Birthday Honours list, the grocer will be legally controlled by a parent company based in Jersey.

Experts said there were several benefits to operating from the Crown dependency, which charges a corporate tax rate of zero.

It would also mean the parent company does not have to disclose its accounts publicly, and the Issas would pay no capital gains tax if they decided to sell Asda at any time.

[loganair] 13/10/2020 10:00

Same with Tesco.

Sainsbury thought going into banking a few years ago was going to really boost their profits without having any good understanding of banking when what Sainsbury's needed to do was to get the core selling of foods right then build from there.

For several years I've been posting that first and foremost Sainsbury's needs to identify who their customers are then serve these customers. This is what they did in their hay day of the 1970's to the early 1990's.

Another good example of not knowing who their core customers are is M&S and like Sainsbury's have also lost their way.

[3dwd] 13/10/2020 09:37

I would be more inclined to look at their banking side ..that's a negative

[spob] 12/10/2020 19:11

Will Sainsburys get another £450 MILLION POUND bonus from the government next year ?

[loganair] 12/10/2020 17:04

Sainsbury's share price forecast 2021: will the company adapt to the industry’s new reality? by Nicole Willing.


Shares in UK supermarket chain Sainsbury’s have dropped by 15 per cent this year, despite grocery sales rising at their fastest rate in more than two decades during lockdowns to tackle the Covid-19 pandemic. What is driving the company’s stock lower? And what is the SBRY share price forecast 2021 and beyond?

The highly competitive grocery market in the UK makes for volatile stocks. Investors closely following Sainsbury’s share price news would have seen that the stocks of three of the four largest retailers – Tesco, Sainsbury’s and Morrisons – have all fallen by 15 per cent year to date, while the share price for online supermarket Ocado has doubled since the start of the year.

Sainsbury’s cedes market share, faces increased costs:

When deciding what to do with Sainsbury shares – buy or sell, investors should consider its position in the market. Sainsbury’s was founded in 1869 and listed on the London Stock Exchange in 1973 – at that time, the largest-ever initial public offering on the exchange.

Sainsbury's share price has been in decline since 2018, as the largest supermarket chains have lost market share to discount retailers. The stock fell by around 10 per cent in 2019 and reached its lowest level in 30 years.

Sainsbury’s market share has dropped to 14.9 per cent from 16 per cent in 2019, data from Kantar shows, while competitors like Aldi, Lidl, and Co-op have gained ground.

Sainsbury’s share price forecast 2021: can the stock turn around?

Sainsbury’s share price is likely to continue to trade lower, at least in the near term. In fact, SBRY is one of the most shorted stocks on the London Stock Exchange.

Shore Capital last month reiterated its recommendation to buy the stock with a Sainsbury share price forecast of £1.87, and the stock has since risen above that level. Analysts at Barclays also recommended the stock as a buy ahead of its interim results on November 5, citing its strong underlying free cash flow, anticipated higher sales and strategic update. Their price target of £2.50 per share indicates a potential upside of around 25 per cent.

Technical forecasting service WalletInvestor indicates the share price will continue to decline, falling to £1.89 in December. Its Sainsbury's share price forecast 2021 shows the price dropping further to £1.58 by the end of the year and slipping to £0.98 by December 2023 and £0.44 by October 2025.

[poikka] 07/10/2020 07:20

Pressure's on Sainsbury's, now, to come up with the divi.

[joe say] 07/10/2020 06:40

Woke alert - Relwoods on his knees honouring a serial criminal

Burn loot murder

[cl0ckw0rk0range] 06/10/2020 22:11

When's white history month?

[poikka] 05/10/2020 13:54

Relwood - "I was looking for the Sainsbury bulletin board but seem to have stumbled into a meeting of the KKK."

Care to explain how you reached that conclusion?

[trikytree] 05/10/2020 11:17

Lol dex. I’ll sell most of my other shares when they’re in profit. If you really object sell today!