Tesco Share Discussion Threads

[loganair] 05/9/2022 15:35

2 x Belgium Chocolate Choux bun update:

Friday before last 75p, then last Monday price increase by 100% to £1.50 - unable to sell many at the new price, fridge stuffed full of them.

Today, Monday, just one week later, price has risen again to £1.60 - Why, if not able to sell at the already 100% increase price of £1.50?

[unastubbs] 05/9/2022 08:42

topped up for the third time since i bought in january. not spending frightening amounts individually but now this is over 5% of my portfolio, so material. recognise the inflationary problems of just keeping the lights on and having such a huge payroll, but it's the same for the competition. my thinking is that the biggest beast is going to come out of all this in the best shape.

but time will tell - GLA!

[yf23_1] 04/9/2022 23:39

FTSE futures currently -90
Trendline on the chart pointing towards 220.
Ouch!

[johnwise] 04/9/2022 23:08

VIDEO

The Energy Bill Crises U.K.

Katie Hopkins

[muffinhead] 04/9/2022 19:26

Looks like discounter Matalan UK may have to close down unless someone wants to pay the electric bill while being the last discounter in town
...liquidation sale around Christmas and then, 11000 redundancies

[vaneric1] 04/9/2022 10:51

I wonder if the Asda buyout of the Co-op includes the one here that Lidl opened a new store next door to with hardly an arm's length of space in between.

[hazl] 03/9/2022 19:52

What about actually enjoying what you eat....doesn't thhat count any more?
Tesco and Waitrose my favourites.

[loganair] 03/9/2022 19:45

From mid 2022 to mid 2024 Aldi plans to open 100 new stores, that's approximately 1 store per week over the next two years.

This will increase Aldi's UK grocery market share by circa 1%.

[albert3591] 03/9/2022 19:32

Konradpuss that was before the Russians invaded Ukraine,still we shall see won’t we,I stand by my statement,Asda will not fair well either which will be good for the rest of the sector.

[loganair] 03/9/2022 19:25

Asda has agreed to acquire 132 sites from The Co-operative Group in a transaction with a cash value of £438m, as part of its growth strategy to move into the convenience market and bring Asda value to more local communities. The purchase includes 129 established, high-quality sites with a grocery retail store of between 1,500 and 3,000ft² and attached petrol filling station, and three development sites. They are located nationwide and

[yf23_1] 03/9/2022 18:53

"Morrisons is closely followed by Tesco, which has increased prices by 4.6pc year-on-year, data from Trolley.co.uk showed. "

..LOL .. 4.6%... its miles more than that, keep taking the rose tinted drugs.

[muffinhead] 03/9/2022 13:59

Worst supermarket price rises revealed as grocers ‘inflate like crazy’

[muffinhead] 03/9/2022 13:56

Discounter business model will be challenged in an inflationary environment.

Lidl and ALDI rapidly came to prominence during "deflation" when German bonds were negative and cash was literally free. It was easy to discount future cash flows into the distant future. Not any more. So I expect momentum to slow.

Even Poundland regularly blows up and requires a reset.

To expect smooth sailing is naive.

I cannot imagine any capital appreciation on new or existing investment.


10 year UK government gilts are about 2.9% currently and climbing. Corporate bonds yields are higher. Far higher than the return German discounters receive for the pleasure of parking their tanks in the UK.


Cheap borrowing is drying up. The market is mature.


Profit margin on discounter total sales is about 1% which does not cover the cost of capital investment. Lidl UK made losses during Covid which can be seen on Company House records. Inflation adjusted returns are non-existent.


Would you invest in ALDI or Lidl if given a chance?

Personally, I think the Germans are idiots to continue UK expansion. Times have changed.

[loganair] 03/9/2022 13:27

The very expensive buy out debt was backed by the Freehold of the shops.

Morrisons could easily become the Next Woolworths or Debenhams, loaded up with debt, all assets sold and leased back then the Private Equity firm IPOing back onto the stock market with the retail investor be left to take the fall.

[konradpuss] 03/9/2022 13:18

Albert, Morrisons debt is probably/almost certainly hedged. The buyout was backed by some very deep pockets, however business is business.

[albert3591] 03/9/2022 12:53

Konradpuss…..Morrisons will not be here in 5years time,interest on the debt for mrw purchase will stop them making money shops will close after Christmas.Lease back would be my idea

[loganair] 03/9/2022 11:05

Chocolate Choux bun update - Since doubling the price to £1.50 on Monday, this Friday when I last looked in my local Tesco the fridge is stuffed full of them, all with yellow stickers giving 29p off and still not selling.

It seems to me Tesco would be better off either to stop bringing them in to my local Tesco or to revert to selling them at the old price + 10p = 85p they'll get away with as all that is happening is Tesco having to throw most of them away in the bin.

[vaneric1] 03/9/2022 10:08

I think the Lidl and Aldi lot will have their bubble burst eventually, their growth is by building new shops in competition to the dead wood Co-op in our locality but they're now coming up against Tesco and it's not so easy.
A Lidl in a local town has had a free run with only the Co-op, the Co-op has now been taken over by Tesco.
In another local town Lidl built a new store directly opposite the long established Co-op which has announced its closure on the 17th this month but Tesco is also long established and appears not affected, competition there will also come from B&M who took over the long gone Somerfield shop.
What seems to be happening is that when Lidl first arrived in the district people from all three towns travelled to that one shop but now they don't need to travel so the same customers are shared by the three shops.
Aldi are also aiming to enter the same towns and have planning applications in.

[johnwise] 03/9/2022 09:56

Called in to Lidl last week to compare prices, 4 years since my last visit.. Waste of time.. Most prices were on a par with Tesco and Morrisons, bought nothing, Morrisons still has the edge on quality and price of fresh meat..

[konradpuss] 02/9/2022 19:39

Logan, you should check out some other counties where Aldi and Lidl operate.

There has been a ceiling to their market share, well so far!

My view is we are a little way away from this ceiling in the U.K.

I think Asda and Morrisons are the people who are going to suffer most from their increased presence.

[loganair] 02/9/2022 13:11

As I posted many moons ago, when Aldi/Lidl combined share was no more than 9%, I thought by 2025 their combined market share would be between 20% and 25%.

Today their combined market share is now well over 16% and increasing by circa 0.8% every year.

It seems to me reasonable to say by 2025 Aldi will be vying with ASDA for the number 3 spot while Lidl will be doing the same with Morrison for the number 5 spot which would mean Morrison in less than 5 years dropping from being the 4th largest supermarket in the UK to 6th.

[123trev] 02/9/2022 12:21

Aldi seem to be opening stores at an alarming rate saturating some towns and cities!

[muffinhead] 02/9/2022 12:17

Next stage cannibalism

[nathdani] 02/9/2022 10:41

article pub going from 60k to 420k utilities from oct as no cap on business ,well manufacturing from toilet rolls to weetabix is going to go sky high inflation is going to rocket .