Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
The Tesco (TSCO interim results have proved to be such a large dog’s breakfast of awfulness, that it is hard to know where to begin in attempting to describe and understand the situation.
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Comments
David Russell
Asda, Tesco, Morrisons and Sainsbury’s will continue to lose market to Aldi and Lidl and also the little man in the corner shop. They have all out grown this little island After Christmas we will see some big drops based on panic and then we will pick up some bargains based on asset value only. My mate thinks they will all recover soon but that is because he holds most in a ISA. The store I work is dead some nights and people who work their am asked to go home early. To buy or not to buy that is the Question, and the answer is Caveat emptor.:) -
Rob
Aldi and Lidl are getting a huge amount of free publicity at present which suggests they are selling food of the same quality at lower prices than the
Big 4. This is simply bogus as food manfacturing and selling is so competitive with such small margins that it would be impossible and it is highly likely we will see their popularity wane as quickly as it has arisen.
Tesco is a great investment on a risk reward basis right now. The rewards of a potential recovery vastly outweigh the risks of things getting worse. It is a screaming buy.