Tesco who is buying and who is crying

bowlhead99

Minrich wrote: »

or are my figures flawed ?

Your figures are flawed, yes, probably because they are made of a mix of headlines. The announcement from Tesco is here: : http://www.investegate.co.uk/tesco-plc--tsco-/rns/holding-s--in-company/201410160900024752U/

He doesn't have to report every trade. He will just report if he crosses a notifiable threshold. Immediately before crossing the reportable 3% threshold, he had 245m shares (about 3% of the 8123m total in issue). Now he has a number of shares that's below the threshold and not reportable so we don't know how many he has left. It's not in his interest to tell us he has 200m or 20m or 2m shares left that he'd still like to dump. He did tell the press previously that his timing of Tesco had been a mistake, so you can surmise that he is on the way out and has better uses for his cash, but you never know.

As for who bought them or at what price, who knows. Somebody thinks they were paying some money for. Unless that person goes over a reportable threshold themselves, or has to report the holdings in their publicly available accounts, you'll never know if they don't want you to.

Scarpacci

One large Tesco investor I don't think we've heard from is the Norwegian state oil fund. They have a big stake in Tesco and unlike Berkshire Hathaway and BlackRock they have not made any moves recently. In fact, the Norwegian fund was buying more earlier this year at around the 300 level. According to the last report they have above 7% of the company: http://hsprod.investis.com/ir/tsco_iframes/ir.jsp?page=news-item&item=1740232701509632

Glen_Clark

Scarpacci wrote: »

the Norwegian state oil fund.

All I know about them is they have been very shrewd and made astronomical amounts of money from their oil revenue.
The complete opposite of the British Government who have wasted all ours.

Glen_Clark

Scarpacci wrote: »

The shares were sold last Friday, I read, and since we're finding out about it today, must have been done in a manner which didn't draw attention to the sale. A stake the size of Berkshire Hathaway's could very easily move the market when it starts to sell down,

As it turns out, selling almost any shares last Friday wasn't a bad idea

marleyboy

The only shares I am likely to buy from Tesco, is the Share bags of Maltesers they sell.

C_Mababejive

I think TSCO has a little further to drop yet. There has been a gradual erosion of trust with customers and now with the revelations of creative accounting although the board moved quickly to provide clarity and accountability. It hardly helps when you see the director deals and note that many of them have been flogging off in recent months. The competition in grocery markets is nowhere fiercer outside the US than in the UK.

The big grocers are busy shooting eachother in the legs with bill comparisons,voucher refunds,loyalty schemes etc

Meanwhile savvy shoppers use on line shopping and comparison sites.

I think the age of the mega supermarket which people physically visit is declining and the new way will be click and collect/home delivery with lower cost base.

Think Amazon but with grocery.

We also have the all important battle for Xmas sales. Who wants to be the party pooper when the NY results are announced?

The average shopper could tell Tesco what to do to win back confidence but like all big companies, they dont hear customers.

Scarpacci

I think the point at which Tesco could become investable has been pushed back further by the recent announcements of another three suspended directors. With so many key staff now out of the picture, at least temporarily, and this undoubtedly affecting the focus of the rest of the management, Tesco are in even worse shape in the all important run up to Christmas. It's a terrible position to be in such an important period.What would likely have been a pretty dire Christmas anyway is sure to be made worse by the management tumult.

All that will be distracting not just from immediate picture but also the plans for a turnaround. I suspect Tesco's update next week isn't going to shed a huge amount of light on the plans to turnaround the company.

Minrich

Don't you think everything for Xmas is already in place ? It is only a few weeks away afterall .

melbury

Very close now to the price I paid in 1999:(

Scarpacci

Minrich wrote: »

Don't you think everything for Xmas is already in place ? It is only a few weeks away afterall .

I think so many managers being away will have an effect on their ability to operate normally now and continuing over the next few weeks. In the press today there was talk about a major Tesco supplier labelling the company rudderless as the people they would usually talk to are gone and those who replaced them are busy in meetings. That would surely be impacting them right now and in the run up to Christmas, whatever plans are already in place. http://www.standard.co.uk/business/business-news/tesco-branded-leaderless-by-suppliers-as-accounting-scandal-rumbles-on-9797457.html

If they announce the results of the investigation next week and just one or two managers are forced to leave, those are positions they will need to fill and that would seem unlikely, unless they promote from within, to happen particularly quickly. What then if it's more than one or two? Or they suspend more senior people and continue investigating? I don't see that they could possibly be running optimally in a situation like this and, given the ferocity of the competition right now, they need to be.