http://www.theguardian.com/business/2014/feb/12/morrisons-private-equity-buyout-talk-sir-ken-morrison
'Activist shareholders want Morrisons to put its property assets - with an estimated value of as much as £10bn - into a separate entity as the potential valueis not fully recognised in the retailer's current stock market capitalisation. Most industry experts believe such a radical move is unlikely and unwise but selling and leasing back some stores, 90% of which are freeholds, would give Morrisons some cash to invest in its business.'
There were quite strong rumours of the Morrison family buying out the company not so long ago.
This is not out of the question at current prices because the SP was nearer £2.50 then as I recall.
Yep from 1250 to 1570 in a month.
Have the fundamentals changed that significantly?
Nope.
Market volatility and this was hugely oversold.
A colossal company that should never have been down at 1250 but highlights the rogue nature of the market.
I for one will not be surprised if it falls back though as soon as the 'risk appetite' magically disappears next week.
So with the trading statements now out of the way for the 'Big 4' let us reflect on the results and share price performance these past few weeks.
Like for Like sales in the 6 weeks to 4/1/15
TSCO -0.3%
SBRY -1.7%
MRW -3.1%
A quite brilliant performance by Tesco all things considered and the other results were not too bad either and better than expected as I had thought before the results came out.
Now lets look at the current share prices.
TSCO 219 [52 week low 155] +41% from low
SBRY 257 [52 week low 221] +14% from low
MRW 193 [52 week low 150] +29% from low
There were a lot of people claiming the results over Xmas would be disastrous, both on here and in the media.
Now if you were lucky enough to ignore all the doom and gloom and buy in close to the lows - as I did - then you will have done very well indeed and picked up some reasonable dividends along the way as a bonus giving a return of between 20-40% within a matter of months.
I have stakes in all 3 BTW.
Tesco and Sainsbury - with the rumours of a Qatari buy out resurfacing again this past week - look set to fly much higher in the coming weeks.
People claiming Tesco would drop to £1 have been proved a long long way off the mark as have those claiming the death of the Big 4.
As always DYOR and do not believe everything you read on these boards or in the media.
We all know why it is down though don't we?
The real reason I mean.
'Death of the Big 4' and sales down 0.4%/LFL 1.7%. Do me a favour.
PS. I posted on all 3 boards and the post was about SBRY.
& why are you checking on here then?
What a disgraceful manipulated drop after these better than expected results.
How can TSCO and MRW still be up when it is SBRY who have reported good results today?
Answer = SBRY most shorted stock out there
tell me how a low oil price is bad for supermarkets or consumers?
Should be the opposite as more spare cash for the general public.
Madness of the market again I'm afraid.
Oh dear yet another share that is being toyed with.
SP down to 25p a week ago; now 35p; gold price is pretty much the same around 1200.
So what has changed to constitute a near 50% rise?
NOTHING.
A lot of people will quit the stock market for good after the past year and all the manipulation/shorting that is going on - I think I will join them.
Just been to my local Sainsburys and it was packed even on a Monday morning.
The analysts have it all wrong IMO. The UK has a growing AGEING population. People are also RESISTANT to change. I'm sorry but Grandad's and Grannies who have shopped at Sainsburys their whole life are not suddenly going to start shopping at Lidl or Aldi! It is ludicrous for these so called experts to even suggest this is happening.
The reason for the rise in market share of these tiddlers like Aldi and Lidl (which is still only around 5% combined) is because of the rising immigration - sorry Tories - from EU countries like Slovakia and Poland who again out of loyalty and familiarity shop at these European supermarkets they have back home.