Sunday share tips: Tesco

23rd Jun 2024 12:25

(Sharecast News) - The Financial Mail on Sunday's Midas column told readers who'd invested in Tesco to "hold tight", pointing to the company's economies scale and all the benefits those generated for shareholders.

"Existing shareholders should sit tight. New investors might even grab a few and hope the stock heads up towards those halcyon days of 2007," the tipster said.

Midas's Joanne Hart also recalled the anecdote of her own mother, who had inherited Tesco shares in the early 1990s, held on, and according to her had made a tidy sum since.

In particular, Hart credited the business acumen of chief executive officer Ken Murphy.

She also highlighted Tesco's Clubcard, which said provided the grocer with invaluable information regarding its clients' tastes.

And with more customers walking down the aisles at its stores and spending more on each trip, as per independent consultancy Kantar, it was little surprise that steady growth was expected by analysts for the following year.

"Tesco shares have had a strong run lately but, at £3.09, there should be plenty more growth to come."