During my weekly ISA check, I may of sworn a couple of times. The FTSE 250 has dropped 4.3% since the start of the year. Big big swing. Not a happy bunny with the last months performance, however a silver lining has emerged.
Beneath the drop has been a sign of recovery for Tesco’s. Since the 7th Jan,TSCO.L share price has increased by 17.5% (about time). Can you just read that again- 17.5%! Cast your eyes on the below!
I was predicting 2 months before we saw the share price hit 160 if the recovery was good, not 6 days! Makes a bloody change with tesco! Finally, the small changes in the strategy of tesco’s bear fruit:
- Regain competitiveness of Core Business.
- New Structure of Management
- Reshape store portfolio
- Cut Head office functions by 30%
Why has this improvement happened?
According to Kantar, Tesco’s market share rose by 0.1% in December. – Quite a shift in that market.
2015- The Year of the Closures
50 UK stores have shut, with Tesco also cancelling 50 further store openings. John Murray Allan has been smart with Tesco, concentrating on the ‘low hanging fruit’ to improve the forecast for tescos.
Partially down to this date: January 14th
The eagerly anticipated Christmas and Q3 Statement is released.
Lets hope that every little does actually help, and not just another false hope of recovery for what was a proud British gem in the heart of Hertfordshire