Tesco Share Discussion Threads

[helen troy] 05/1/2023 15:39

Morrisons seem to offer competitive diesel prices in their forecourt. 3 or 4p cheaper. Maybe trying to attract people to their store to pay higher prices?

[helen troy] 05/1/2023 09:26

Well I got my 240p. I think the buybacks have been paused for a breather.

[johnwise] 05/1/2023 06:52

Morrisons in festive flop: Setback for supermarket's private equity owners after shoppers flocked to rivals over Christmas

Check out the comments
"They have totally wrecked a once excellent supermarket, I called in yesterday and I was really shocked at how expensive it is there now. Needless to say that I didn't spend a penny and went straight to Tesco where prices were much more reasonable".

[philanderer] 04/1/2023 19:43

Supermarket chains Tesco and Sainsbury's rose between 2% and 4% after data showed British grocery sales rose 9.4% in the four weeks to Dec. 25, driven by price inflation rather than increased purchasing

Tesco sales, meanwhile, grew by 6.0%. It remained the UK's most popular supermarket though its market share slipped to 27.5% from 27.9%. Peer Sainsbury saw sales growth of 6.2%, though its market share fell to 15.5% from 15.7%.

Shares in Sainsbury's and Tesco closed up 4.8% and 2.6% respectively.

Alliance News

[loganair] 04/1/2023 14:13

For December Lidl sales up 23.9%, Asda 6.4% and Sainsbury's 6.2%, Tesco 6.0% while Morrison saw a decrease of 2.9%.

As food inflation is running at circa 15%, any sales increase less than 15% means the supermarket is selling less stuff.

[geckotheglorious] 04/1/2023 09:47

Tesco sales, meanwhile, grew by 6.0%. It remained the UK's most popular supermarket though its market share slipped to 27.5% from 27.9%. Data from Kantar showed that Ocado sales increased by 8.2% year-on-year in the 12 weeks to Christmas Day, as it maintained a market share of 1.7%.

[geckotheglorious] 04/1/2023 09:47

Johnwise.

If you think it's bad now, wait until you see how bad it gets.
Food retailers are pulling from last years stock in many cases. Fertiliser prices have been so high that many farmers used far less - result this years harvests will most likely disappoint.

Higher food inflation to come.

Lockdowns have consequences.
As does Furlough money for doing nothing.

[johnwise] 04/1/2023 06:44

Food Discounter without that club card nonsense..

Aldi toasts record UK and Ireland Christmas sales amid tightened consumer purse strings

Aldi, which recently announced plans to invest tens of millions of pounds in its Scottish operations this year, has hailed record Christmas sales as shoppers saw their budgets squeezed by the rising cost of living.


The German-headquartered discounter has seen sales in the UK and Ireland jump by 26 per cent in December to top £1.4 billion for the first time, and comes months after it overtook Morrisons to be crowned the UK's fourth-largest supermarket as consumers seek to lower their grocery bills.

[johnwise] 04/1/2023 06:40

Food inflation has been running at at least 15% for months now. Many items are even higher, some at 35% plus. These rises are simply not sustainable for most, especially coupled with energy prices. More and more people are being pulled to breaking point every month. Those who considered themselves comfortable may soon find that they no longer are. Grim year ahead. Good luck everyone..


Food prices continue to skyrocket despite easing UK shop inflation

UK inflation is beginning to ease, but food prices are still accelerating at one of the fastest paces on record, new research out today shows.

[konradpuss] 03/1/2023 20:06

languerin and just over £2 billion of cash.

A big volume today. The 'head and shoulders' chart patern looks like there is a bit of a spike on the right shoulder forming.

[ianguerin] 03/1/2023 20:00

konradpuss - the company is running a £750million buyback programme, whilst latest accounts show current borrowings of £1billion of which £800million is bank overdrafts. The other £6+billion is longer term borrowing

[clive7878] 03/1/2023 15:54

Tesco - along with Sainsburys & Asda - seem to have a ploy - eg Bulls Bridge, Hayes - to have 2 out of 10 tills open - in an aim to p*ss customers off - many times waiting up 30 minutes to get through the check out - to try to persuade them to use the self service.
tills.
Lidi even worse - sometimes they have no stall on the tills at all.
Aldi is better because too many people queuing & they open another till

[alphorn] 03/1/2023 15:44

Good start to the year - remain bullish.

[helen troy] 30/12/2022 20:13

Correction to my last buyback post status. I make it Citigroup have bought about £110m worth of shares up to the rns today. So they are more than halfway through their buyback authority.

[konradpuss] 30/12/2022 19:49

languerin, I think you need to look at how the money is borrowed - long term bonds, many with long maturity and lowish interest rates.

I am for reducing debt, however the company must time that with the bonds maturing.

Iy is also a very stable low margin business so a bit of debt is not out of the question.

[loganair] 30/12/2022 19:40

Totally agree...

[ianguerin] 30/12/2022 19:21

The August 2022 accounts show £7.5billion of borrowings, so the logical process would be to reduce that liability instead of use the buybacks, increase net profit & pay out dividends if the directors can't think of any other way to use the cash - other than to try to enhance the value of their cheap share options.

[helen troy] 30/12/2022 11:51

I'm just intelligent? guessing Konrad. Citi have been given authority to buy £203m of shares a month ago. What their remuneration is if they achieve that I do not know, nor what constraints are on them. Tesco want these shares bought. We know that much. I reckon they have bought about £40m so far.

[konradpuss] 30/12/2022 11:37

Helen, I think you know more than I as to the actual mechanics.

Citi or who ever still need to be guided as to when they should be buying back. There is
strategy and there is tactics. Just my humble.

[helen troy] 30/12/2022 11:13

Just a theory. What do I know about it?

[helen troy] 30/12/2022 11:12

The buybacks need to be managed properly so they achieve their aim without over inflating the price. I think Citigroup are doing that. They have bought about 40m shares since they started a month ago, and the price has hardly moved. They can disguise what they are doing by loading the order book with lots of sells, and then pulling them if they look like executing. Meanwhile they grab 1-2m shares a day at a good price.

[konradpuss] 30/12/2022 10:47

Logan, I really think it is all about intrinsic value. The company should not have been buying back earlier this year at circa £3. They could have gone in BIG at anything around £2 as did one of their largest holders who went from 3% to circa 5% of ownership when the share price tanked..