Supermarket Income REIT shares offer 'particular value', says Stifel
Supermarket Income REIT PLC (LSE:SUPR, OTC:SUPIF) shares offer value and a dividend yield of 8.6%, said broker Stifel as it reiterated its 'buy' recommendation at 70p share price target. This followed an update from the real estate investment trust about various recent portfolio initiatives, including the sale of one Tesco store, lease renewals on three other Tesco sites and the acquisition of a handful more Carrefour supermarkets in France.
Supermarket Income completes portfolio initiatives in UK and France
Supermarket Income REIT PLC (LSE:SUPR, OTC:SUPIF) has completed a series of portfolio initiatives, including the sale of a Tesco store, lease renewals on three sites, and the acquisition of additional Carrefour supermarkets in France. The company said it has sold the Tesco Newmarket store back to the grocery giant for £63.50 million, reflecting a 7.4% premium to its valuation as of last June.
M&S downgraded due to risks from muted UK jobs market, Tesco and Sainsbury preferred
Marks and Spencer Group PLC (LSE:MKS) was downgraded by analysts as deterioration in the jobs market is set to hit the UK consumer. Calculations of UK consumer cash flow present "a constructive view" for disposable income-led growth, analysts at Jefferies said, which led them to keep 'buy' ratings on Tesco PLC (LSE:TSCO), Next PLC (LSE:NXT) and J Sainsbury PLC (LSE:SBRY) as they are seen as "key market share winners".
Sainsbury's, Tesco grow share again as supermarket inflation slows
Tesco PLC and J Sainsbury PLC both picked up market share last month as supermarket inflation slowed on demand for promotions, figures showed on Tuesday. According to Kantar, prices across UK supermarkets rose by 3.3% in January, against 3.7% a month earlier.
Tesco to axe 400 jobs as competition mounts
Tesco PLC has unveiled plans to cut 400 jobs as part of an efficiency drive as competition in the grocery sector mounts. Stretching from bakery, to phone shop, to head office positions, Tesco said the cuts would “simplify” its business.
Tesco, Sainsbury's to pass on all higher costs to shoppers to maintain profits, analysts predict
Last week the market wiped out £1.5 billion of the valuations for Tesco PLC (LSE:TSCO) and J Sainsbury PLC (LSE:SBRY) due to worries that the industry will see profits squeezed amidst rising costs and changing interest rate expectations, but for investors JPMorgan sees "10 reasons to buy the dip". The bank noted that this penalisation was despite underlying increases in forecasts for the companies and both the pair's positive post-Christmas reports in the week as well as the current market dynamics.
J Sainsbury: Shares Look Cheap As Christmas Trading Comes In Strong (Rating Upgrade)
J Sainsbury has been a pretty soft performer since my last update, underperforming close peer Tesco by over 30 points in that time. The company appears to be executing well, gaining market share even as the traditional full-line grocers lose ground to discounters. Sainsbury is very much the number two player behind Tesco. Although its profitability is weaker, this is more than reflected in their respective valuations.
Tesco Shares Have Hit Their Shelf Life (Rating Downgrade)
Tesco shares have surged over 80% since October 2022 when grocery inflation peaked. Despite strong Q3 sales growth and market share gains, macroeconomic challenges like rising inflation, higher NIC, and MLW hikes could pressure Tesco's margins. Even with the most optimistic earnings projections given the macro outlook, we don't see meaningful upside for the stock that warrants a Buy case considering its current price.
TSCDY or WMT: Which Is the Better Value Stock Right Now?
Investors with an interest in Retail - Supermarkets stocks have likely encountered both Tesco PLC (TSCDY) and Walmart (WMT). But which of these two stocks is more attractive to value investors?
Tesco takes the long view as it resists the urge to upgrade, says broker
Tesco PLC (LSE:TSCO) chose not to raise its full-year profit and cash flow guidance despite delivering a strong Christmas trading period, a decision Shore Capital views as reflecting the retailer's focus on long-term investment rather than short-term upgrades. While group sales rose by 3.1% for the 19 weeks to January 4, CEO Ken Murphy emphasised the importance of maintaining value and quality for customers in a challenging consumer environment.
Tesco hails record Christmas after reaching highest market share since 2016
Tesco PLC (LSE:TSCO) said its full-year profit and cashflow targets remained unchanged after a record level of Christmas sales. Like-for-like sales swelled 3.8% for the UK's largest supermarket group, as demand grew in the six weeks to January in the UK, Ireland, Central Europe and for its Booker wholesale arm.
Tesco's bumper Christmas puts it ahead of UK rivals
Tesco , Britain's biggest supermarket group, kept its full-year profit outlook on Thursday as it reported a 4.1% rise in underlying UK sales for the key Christmas trading period, winning market share from rivals.
