Tesco shares hammered

Glen_Clark

As far as I can see, the campaign against supermarkets is drivern by vested interests. Obviously high street traders who want us to keep paying high street prices.
But, perhaps less obviously, Britains big landowners - the wealthiest people in Britain, who cannot increase their rents to tenant farmers because it would drive them out of business. They focus on supermarkets driving down food prices and struggling tenant farmers, but if we paid more for our food so farming was more profitable, it wouldn't be long before the landowners put the tenant farmers rents up, so they were struggling again.
Higher food prices would just be another transfer of wealth from the poor to the rich.

gadgetmind

atush wrote: »

I find all the anti Tesco sentiment around a bit funny. Not because I am a past aand now current shareholder.

I own shares in Sainsburys but still *much* prefer shopping from local markets, fish-mongers and butchers as the prices are lower and the quality is usually better. Each to their own.

atush

Well you don't live in my town. I use my fishmonger all the time, but he no longer sells some of my favs as the boats don't bring them in anymore (langoustines for one). Can only buy cooked lobster ( i prefer it live).

I use the butcher sometimes but he is expensive and doesn't carry all the cuts I like. And the shop is dirty looking, And freezing as he never closes his door ever.

Mainly I use Co-op in my local town. You must be in a bigger town/have better shops lol.

4_Pete's_Sake

Tesco's have blamed the fall in shares on the Big Price Drop, I can assure you that this is not the reason. In November they stopped supporting Cancer Research through the Race for Life and announced that they would be supporting London's gay pride. As a result of this very large numbers of Christians have begun boycotting Tesco and shopping elsewhere. Due to the bad publicity Tesco's have announced they are going to move away from supporting events, indicating that they will no longer sponsor London's gay pride after this year. This has angered many gay people who on the Pink News Website have also been encouraging fellow gays to boycott Tesco.

This is a double whammy for Tesco with 2 opposing groups boycotting them. The Christians have not returned due to Tesco's supporting this year's event and the gays are not returning due to Tesco's announcement that they are to move away from sponsoring events. Once customers have gone elsewhere and found that there are other good places to shop it is very hard to win those customers back. I suggest that this is the real reason for Tesco's decline and that we will soon see their share price below £3.00. Head for the exit, while you still have a chance.

gadgetmind

4_Pete's_Sake wrote: »

This is a double whammy for Tesco with 2 opposing groups boycotting them. The Christians have not returned due to Tesco's supporting this year's event and the gays are not returning due to Tesco's announcement that they are to move away from sponsoring events.

What about the gay Christians? Where do they stand on this?

IronWolf

Despite what people say, I'm sure most people just shop at their closest supermarket, regardless of whether its a Tesco or Sainsburys.

The UK is still not very crowded in terms of supermarkets compared to very mature markets like the US where supermarket space is far greater. And the supermarkets rarely open a new store on the doorstep of a competitor unless they have a clear price advantage.

Slinky

IMO The Big Price Drop thing is a con.

For example prior to the price drop, both Tesco and Sainsbury were selling 4 pints of semi-skimmed milk for a £1 each if you bought 3 (one for the fridge, two for the freezer). Now they are trying to tell me that I'm saving 7p a bottle when they are selling it to me at £1.18 for 4 pints. Now forgive me if I'm not totally brainless, but that looks like an 18% price increase to me....... And Sainsbury's have matched it.

So many of the so-called price drops aren't anything like as good as they are trying to pretend as they've discontinued many of the multi-buy offers.

Sainsbury sent us a load of £12 off a £60 shop vouchers in the weeks before Christmas. Guess where we shopped......... it's further away but was worth making the effort.

We hold shares in both, but I wasn't sorry to see Tesco's taking a bit of a smacking, they need taking down a peg or two.

brasso

ses6jwg wrote: »

Me and my grandad were discussing whether to buy Greggs or Tesco about 4 months ago.


I thought Greggs was a better bet. He thought Tesco.

He thought wrong.

It's easy to be "right" when you set retrospective buying and selling points for a stock.

What about the next 4 months?

sabretoothtigger

I'll pipe up with a guess. How about an ironic strength in luxury retailing.

Im not sure which stock is most suitable for this premise but especially in London or global capitals like that, a high profit margin retailer could do excellent well beyond expected. Its a symptom of loose money

We need a forum fashionista to call it

SGP and I own PDL which is diamond retail supplier

IronWolf

I've had my eye on Burberry for a while, but a bit too high priced for me to buy it as a value investment. They just posted large profit growth, although mainly due to their growing popularity in China.