Tesco Share Discussion Threads

[nathdani] 02/8/2019 10:27

Buy what do u hope from your dribble ?,I mean no one takes share advice from a BB .

[buywell3] 02/8/2019 08:43

I see the USA Tractor share is still misleading many in the header , terrible that



IMO one should consider todays market actions in many weaker performing stocks V the 100 point drop we have seen in the FTSE 100 following a circa 250 point drop in the US DJIA late yesterday.


Consider then


What kind of falls in such stocks can be expected if the DJIA sheds over 500 points in a couple of days

Followed by another 750 points in the following week

Then 1000 points in the week after that ?


RISK management it's called

OIL dropping lower now can do this IMO

dyor

[vaneric1] 28/7/2019 18:30

They can have some of our wild boar.

[buywell3] 28/7/2019 18:10

Well said


.......... African Swine Fever (ASF) & the Final Straw Donkey ...............



Some doubted that African Swine Fever had the capacity to cause a Global Slowdown in its own right.


They will IMO soon be proved wrong. And the Global cost will be in excess of $2 Trillion over the next 3 years.


Not only has African Swine Fever entered Bulgaria as I posted last:

It is also in Poland :-


Today it has just been reported as being found in Slovakia


In fact things in the EU are now looking very bleak indeed



There has now also been the first reported case of ASF being detected in the UK



buywell notes:

The world has not yet woken up to the implications and ramifications of this pandemic pig killer.

95% fatal to infected pigs, and no cure exists.

This disease infects ALL provinces in China and IS AFFECTING ITS ECONOMY



The problem is that ASF will soon also be killing pigs in America and the EU by the millions just as it is in China and many Asian countries.

Protein food prices across the Globe are now spiking upwards and will continue to do so causing additional inflationary pressures on economies and countries that are already under strain from other problems.

buywell thinks pigs are the final straw that will break the back of the Global Donkey

[loganair] 28/7/2019 13:55

1,000 more reasons why I’m avoiding the Tesco share price:

I can understand why the Tesco share price is something plenty of share pickers want to get their teeth into. At current prices, Britain’s biggest supermarket retailer boasts a forward P/E ratio of 13.2 times, coming in below the FTSE 100 corresponding average of around 14.5 times. For a stock City brokers expect to grow earnings by double-digit percentages over the next couple of years at least, well, Tesco appears to be a bona-fide bargain right now.

I’m not tempted to buy into the firm, however, low valuation or not. The grocer’s share price has fallen 11% from its 2019 highs struck around 250p in late April and, judging from recent newsflow, there’s plenty of reason to expect it to keep falling.

Price hikes are coming:

The sales renaissance which Tesco enjoyed up until fairly recently has well and truly run out of steam. Latest trading numbers showed sales growth more-or-less stagnate in the first fiscal quarter. That’s a reflection of expansion by its competitors and the mounting pressure on household budgets that’s exacerbating the rush to cheaper supermarkets such as Aldi and Lidl.

I expect recent news of price hikes will go down like a cup of cold sick for the customers that are still sticking by Tesco too, and worsen the current exodus. In the face of rising costs, it’s been forced to raise prices on some 1,000 goods across the store in the past couple of weeks, according to data seen by the Press Association, with prices going up by an average of 11% on a broad range of items.

The likes of Tesco find themselves in one of those dreaded Catch-22 situations: keep prices low and with them razor-thin margins; or increase them and lose even more loyal customers. The Footsie firm has opted for the latter, and it’s likely the price rises will keep coming given the probability that the pound will keep on sliding.

So forget about those City predictions of handsome profit increases over the next couple of years, I say. It’s hard to see how Tesco will deliver on these estimates, and I expect them to be chopped back sooner rather than later and prompt a further slip in the share price.

[loganair] 28/7/2019 13:48

Santander is thought to have headed off rival bids from Royal Bank of Scotland and Lloyds Banking Group to acquire Tesco Bank’s £3.7 billion mortgage business.

The Spanish bank is expected to enter exclusive talks for the book of 23,000 home loans which Edinburgh-based Tesco Bank put up for sale in May after stopping active lending. Nationwide was also interested in acquiring the business.

Santander’s mortgage market share is 11.3%.

Tesco launched mortgages in 2012 but Gerry Mallon, who succeeded Benny Higgins as chief executive, said in May that the mortgage market had become less profitable for the group.

[buywell2] 28/7/2019 13:40

Any greens here ?

Did you guys know

1% of ALL the electricity generated in England is used by the BIG Supermarkets for powering their fridges , many of which lie open for the public to gaze upon with longing, and kids to finger with their grubby mitts

I kid you not

[muffinhead] 27/7/2019 21:53

Household incomes hit record high as rising pay and lower taxes boost spending power


>>
Families are better off than ever before as rising wages, more jobs and lower taxes combined to boost take-home pay by £400 per household last year.

That rise took average disposable household income to £29,400 in the financial year ending in March, said the Office for National Statistics, an increase of 1.4pc above inflation.

Over the past decade real household incomes are up just over 8pc.

Wages growth has been sluggish since the financial crisis, but accelerated to 3.4pc on the year in May, firmly outstripping prices that rose by 2pc.

That still leaves real wages £5 per week below their pre-crisis level as prices outstripped earnings in and immediately after the crisis, and again in 2017.

However, households are still taking home more money overall because more people are in work and taxes are down.

The starting point for paying income tax rose by £350 to £11,850 last year and was raised further to £12,500 from April this year.

For higher earners the 40p rate kicked in at £46,350 last year and £50,000 this year.

This should support the economy as analysts expect households to spend most of the extra income.

“We are likely to see growth in real disposable incomes of slightly above 2pc this year and for most of that to feed through into spending,” said Samuel Tombs at Pantheon Macroeconomics.

“Households are going to benefit from fall-back in inflation in the next three or four months - the CPI rate could be down to 1.5pc by autumn, from 2pc currently.”

He anticipates energy price pressures to fade and for gas and electric bills to be cut as regulated prices move in line with cheaper gas in the wholesale markets.

“Whilst are likely to see wage growth slow a bit from its 11-year high recently, I still think it is going to be sustained at above 3pc this year,” Mr Tombs added.

He expects the economy to expand by 0.4pc in both the third and fourth quarters of the year, bouncing back from the flat second quarter that was affected by the running down of stockpiles after the missed Brexit date of 29 March.

Rising earnings vary between different types of households, particularly on whether or not they are retired.

The state pension rose 3pc for retired households, as the triple lock hikes payments by the larger of inflation, wages or 2.5pc each year.

Retired households’ incomes have almost tripled since 1977 when comparable records began, rising by 190.2pc over the past 42 years.

Working-aged households’ disposable incomes are up by 118pc over the same period - more than doubling, but growing more slowly than that of their older neighbours.

The gap in growth has widened, particularly since the financial crisis, when wage growth slowed while the triple lock came into force in 2011.

Another factor is the freezing of housing benefit, child benefit and tax credits in cash terms, meaning the spending power of working-age benefits has diminished as inflation erodes their value.

[loganair] 27/7/2019 12:42

It is like saying the latest film, what ever it was took a record amount at the box office, however taking it to account inflation this film only comes 16th while Gone with the Wind still holds first place.

The highest temperature since records began is a good headline whereas saying the highest temperature since 1914 doesn't make such a good headline.

What is important is the spending power of this record household income which is most probably far less then it was in the 1970s when the likes of Tesco and Sainsbury's operated with 7% margins.

[muffinhead] 26/7/2019 23:32

Household incomes hit record high as rising pay and lower taxes boost spending power

[loganair] 26/7/2019 15:48

Report - Supermarkets are designed to tempt shoppers to make extra purchases.

Naturally, as the UK is already saturated with supermarkets and Aldi/Lidl are opening 40 new supermarkets per month, the only way for supermarkets to even stand still is to sell more to their customers at a lower price, therefore they have to tempt their customers to buy more.

[philanderer] 26/7/2019 13:51

'It may not be easy but the customer always has the answer': As Tesco celebrates 100 years, we speak to Dave Lewis about pulling it back from disaster

[ignoble] 25/7/2019 18:10

I would have thought stock levels would be computerised and delivies can be fine tuned to replenish stock quickly in Stores.
Can very well understand though why they need people to keep replenishing the shelves quickly as things sell very quickly.

[nathdani] 25/7/2019 16:20

They had a weather team 20 years ago its probably better now but its not new .

[philanderer] 25/7/2019 12:38

:-)

How Tesco's team of weathermen is taking the heat: Grocer employs 12 staff to make sure it does not run out of ice creams and barbecue essentials

[loganair] 25/7/2019 10:57

Finland has already made it very clear that they will be very unhappy if they have to make up some of the short fall of the gross £39bln, nett £24bln Boris has said he will not pay in the event of a hard Brexit.

After the UK leaves, Finland will become the second highest nett contributor to the EU, behind Germany.

The EU is becoming like many countries pensions, too few countries are nett contributors in the EU, down to just 5 after the UK leaves while over double the number of countries are nett benefiters, with any new countries that are likely to join will also be nett benitifters as they come from the poorer regions of Eueope and is why there want to join the EU..

[vaneric1] 25/7/2019 10:26

Take a look at the vehicles in the public sector, Mercedes, VW, Audi, Renault, BMW, that's ambulances, police vehicles, councils and pretty well every other department.

I'm sure Nissan, Honda and Toyota built in the UK Korea or Japan would be pleased to fill the gap if Germany and France decided to start putting tariffs on UK products and we reciprocated with tariffs on their vehicles or maybe government operating a 'buy British rule for the NHS, Police etc..

[loganair] 25/7/2019 10:15

Reporting if there is a Hard Brexit, EU manufacturing will go into recession which is specially relevant to Germany and the Netherlands. This will be made worse as in the mature end of the cycle there will be nothing to back EU manufacturing up.

It seems to be as well as Ireland, Germany and the Netherlands can not afford a Hard Brexit.

[loganair] 25/7/2019 09:59

Money is becoming cheaper to borrow and seems will even become cheaper with the next turn down most central bank interest rates will be negative.

The UK already has the cheapest food in the EU and with more and more supermarkets opening, only means lower and lower profits until they're basically making no profits at all.

[vaneric1] 25/7/2019 08:07

It's called competition Logan, keeps the prices down for the consumer at the expense of shareholders in the less ably managed supermarkets.

We have a new Lidl coming, the foundations have been laid, it's right next door to the Co-op and within a hundred yards of a Tesco Express.

Next door to the Tesco Express is an empty former Nisa (Tuffins) supermarket, it went bust, the freeholder of the premises I'm told is the Co-op and they're being very careful who they rent it out to now.

Swings and roundabouts really, I can see Aldi and Lidl coming to grief sooner or later if money becomes more expensive to borrow.