Tesco shares, when to buy?

robin58

Minrich wrote: »

Hardly huge ! My parents ran a large Supermarket and their profit margin was 19% , they retired ten years ago . It provided a personal touch with either my mum or dad always on the shop floor talking to customers . They had been on the same estate for over 40 years .

Food shopping is a chore , spicing it up to make it more enjoyable might help .

It was the the obstinate attitude that Tesco would not budge from this % rate that made there prices more expensive in comparison to the other main supermarkets.

They were after the money rather than giving the customers a service.

I agree with you shopping should be fun, with a personal touch.

That's why I like my local Aldi.

I am on good terms with the people who work there. They will always have a chat and a laugh if time permits. Also they are very helpful when it's required.

robin58

Minrich,

Please accept my apologizes in my remark.

What I meant in the comment, is that if you were keeping them as an investment the time to make money on them has now past. They had there good days, now that has past. Cutting the return to shareholders is one of them.

I also have shares in range of companies and know by experience to both my cost and good fortune how they can be.

Also I am not moaning off at your wife as an employee,- I know how it feels to be at the coalface- but the company high ups who set the 'feel' of a company. Any company is only as good as the way the bosses run it. Get that wrong and it goes down the tubes. Think 'Ratner'

I have worked in a large muti-site company where I knew most of the people by there first name, from the company owner down to the floor staff. It was a great company to work for.

I worked in another company where you wished for major accident at head office to wipe most of them out.

I also have some experience in the food retail sector. Take it from me, the difference between Tesco's base product price and mark up percentage is bigger than you think. Would not be surprised if it could be as high as 50%+ on most of their products.

Also I am not one of those people who think that all footballers are rapists or that there's a mugger on every street corner.

I always have a balance view to everything I see and read. I know that newspapers and Tv give out sensationalist stories on most things. Think of the Ebola reports in the USA, where they think a plague is about to descend on them because of the reporting. You should listen to some of the USA stations on the internet! (and I'm not talking of the crazy ones, like Alex Jones!!).

But to be honest, if I was working for Tesco's I would be worried on which way the company is go right now. I think as a major supermarket they have lost the plot at the moment.

And if they don't give the customer what they think they expect, they will walk with their feet like I did.

You are talking to a person who has basically shopped at every Tesco's at sometime or another in a 35 mile journey from London where I used to work, to my home.

I also think as you do that the people in this country treat the Police like
sh**.

But guess who expects them to turn up, when those same people are having trouble....

Minrich

Well share price has stumbled around 170p up and down for a bit , its gone up a little this week , has it reached the bottom ? I think so , now keeping to my normal policy of buying when they are low i should have bought more at 170-175 but i am not . I am reluctant to put any more of our savings into one company although i think they are good price . Will i regret , yes probably . But i am fed up of watching my investment go up and down , we only have Tesco shares afterall , all bought for the dividend too ! We have not sold them as we what would we do with the money ! We are still saving in the SAYE Tesco scheme at £250pm , but won't be buying any more and will keep the cash (All the option prices are over £2.82 , the 2010 option price was £3.86 !

Scarpacci

I would want clarity over Tesco's plan and whether it's feeding through to results before buying more. That the share prices looks to have stabilised doesn't mean too much for the company's future. It's possible the supermarket sector as a whole has reached the point of being beaten down too much and will move back up or hover around these levels, but that's more a change of sentiment - at least in Tesco's case - than a measurable change in fortunes.

I wouldn't worry about missing out on any upside from not backing the truck up. If you own Tesco shares, you're going to have more money than you did x days ago if the share price is increasing, whether or not you stormed in at those levels.

Minrich

£1.89 just now ! Thats up nearly 10% in about 3 days (why) , only another 90% to go ! Should i have bought ?

3 hours ish later they have come back down to 183/4p What was the mad rush this morning ? Sainsburys shot up too now back to where they started the day ?

Minrich

At close today £1.92 , the 10000 i was going to buy at £1.70 it really does seem like a mistake , bearing in mind i have always bought when they were low ! Trouble with the internet telling you all sorts of doom and gloom and rare pieces of good news . If i hadn't seen the £1.50 bandied about on the net as the bottom i think i would have bought .

Minrich

So the Tesco employee SAYE option price was released today - £1.50

Also they have increased the amount you can save per month to £500

So we will be opting for the £500pm @ £1.50 for the next 5 years . Cancelled the others we had running which had option prices of £2.82 - £3.86 and got the cash back from them .

So in 5 years we will have £30k with the option to buy shares at £1.50 a share - We think thats a no brainer - Even if the shares are worthless we will have the £30k .

Your views ?

PeacefulWaters

Minrich wrote: »

So the Tesco employee SAYE option price was released today - £1.50

Also they have increased the amount you can save per month to £500

So we will be opting for the £500pm @ £1.50 for the next 5 years . Cancelled the others we had running which had option prices of £2.82 - £3.86 and got the cash back from them .

So in 5 years we will have £30k with the option to buy shares at £1.50 a share - We think thats a no brainer - Even if the shares are worthless we will have the £30k .

Your views ?

Your risk is interest missed out on.

It's a risk I'd take. Manage the CGT liability carefully if all goes to plan!

Minrich

PeacefulWaters wrote: »

Your risk is interest missed out on.

It's a risk I'd take. Manage the CGT liability carefully if all goes to plan!

Yes the interest we will miss but Tesco pays your last 4 or 5 payments in a 5 years SAYE plan , so the more you save the more they give you , so in our case £2000 or £2500 into the scheme we haven't put in either .

caileag

Minrich wrote: »

Yes the interest we will miss but Tesco pays your last 4 or 5 payments in a 5 years SAYE plan , so the more you save the more they give you , so in our case £2000 or £2500 into the scheme we haven't put in either .

Not got my info in front of me, but I think its only 0.8 (or 0.6?) of a monthly payment this time as bonus on the 5 year plan, so just a few hundreds bonus possible? Probably worth checking out.