TESCO - Basic question
#32
Scooby Regular
Not wanting to digress too far ... but what do Tesco care about the share price? This is a genuine question! I get it that at IPO they get the money from the initial purchasers, and are of course obliged to payout the dividends to the holders at the appropriate times, but what difference does it make to Tesco the value that the share is subsequently exchanged at between investors, fund managers, day traders etc? This is something that I am fundamentally missing in my understanding.
So if it has taken out loans based on a valuation and certain level of capitalisation etc then it may have to repay them it that falls
It can borrow at better rates etc
And that's just for starters
I don't think any PLC is obliged to pay out any dividends btw
But I freely admit I am not an expert
#33
Tesco is losing the war between the 4 big main rivals and its share price has been in a steady decline along with its market share for the past year. It's all about perception and maintaining the perception of success and managing market expectation to keep/attract investors and maintain market capital and ratings. Tesco aren't about to go down the pan, remember the Group still posted an annual pre-tax profit of £3.3bn for 2013.
#34
Scooby Regular
Was has that link got to do with anything
And yes I would imagine Tesco do have loans, - does tesco have a credit rating, I would imagine it does
And lastly, if a company does not pay a dividend, then your only hope is capital growth
And yes I would imagine Tesco do have loans, - does tesco have a credit rating, I would imagine it does
And lastly, if a company does not pay a dividend, then your only hope is capital growth
#35
Scooby Regular
But tesco as an entity is a public company
By buying shares, you own part of Tesco's
So the value it has to Tesco's - is the value it has to you
By buying shares, you own part of Tesco's
So the value it has to Tesco's - is the value it has to you
Last edited by hodgy0_2; 24 September 2014 at 10:05 PM.
#36
Scooby Regular
#37
From Tesco's point of view it's about market capitalisation, the measure of value of the company. Investors use this figure to determine the company's worth. Capitalisation through shares provides liquidity for the company, for it to invest in itself, to fund expansion etc. The unintended drop in share price has reduced its capital and thus its ability to invest, but I'm guessing they have enough cash in its bank account to carry on trading and to see through this dip in capital.
Last edited by jonc; 24 September 2014 at 10:20 PM.
#38
Scooby Regular
When you say "they", who do you mean the executives the run Tesco's
Yes maybe they don't care, after all they only run Tesco's on behalf of the shareholders
As I said the the Labour Party post - it's not their money
Yes maybe they don't care, after all they only run Tesco's on behalf of the shareholders
As I said the the Labour Party post - it's not their money
#39
Scooby Regular
iTrader: (11)
I'll ask the question again. If it's only a profit forecast that was misreported, whether by Tesco staff or by their auditors, and there's no proof that whoever did so stood to or has actually made any financial gain from that misreporting, has any law been broken here? Or is the whole fuss just about the perception of impropriety?
#40
Scooby Regular
Yes, maybe simply an example of poor governance, lack of financial controls and a general lack of focus on the core business
And might explain why Tesco has been steadily loosing market share and the share price losing value
Being "a bit ****" is not a crime after all
(My wife uses Tesco home delivery all the time)
And might explain why Tesco has been steadily loosing market share and the share price losing value
Being "a bit ****" is not a crime after all
(My wife uses Tesco home delivery all the time)
#41
Scooby Regular
iTrader: (1)
Join Date: Sep 2013
Location: Cotswolds
Posts: 806
Likes: 0
Received 0 Likes
on
0 Posts
I remember an article about two of their accountants, on secondment to HMRC, sanctioning payments for these super hospitals before going back to normal jobs. The then Secretary of Health came under huge scrutiny for it and the story went dead! Was in The Telegraph I think. Good two plus years ago.
#42
Scooby Regular
lol it is much worse than that
The "Big four" second Accountants to help the HMRC write the Tax Law
these same Accounting firms then, with inside knowledge, devise and sell the loopholes to anyone who can afford it to avoid billons in Tax
you really could not make it up
The "Big four" second Accountants to help the HMRC write the Tax Law
these same Accounting firms then, with inside knowledge, devise and sell the loopholes to anyone who can afford it to avoid billons in Tax
you really could not make it up
#43
Scooby Regular
iTrader: (1)
Join Date: Sep 2013
Location: Cotswolds
Posts: 806
Likes: 0
Received 0 Likes
on
0 Posts
lol it is much worse than that
The "Big four" second Accountants to help the HMRC write the Tax Law
these same Accounting firms then, with inside knowledge, devise and sell the loopholes to anyone who can afford it to avoid billons in Tax
you really could not make it up
The "Big four" second Accountants to help the HMRC write the Tax Law
these same Accounting firms then, with inside knowledge, devise and sell the loopholes to anyone who can afford it to avoid billons in Tax
you really could not make it up
#44
Scooby Regular
#46
Scooby Regular
iTrader: (14)
Join Date: Mar 2013
Location: Bedfordshire
Posts: 2,417
Likes: 0
Received 0 Likes
on
0 Posts
And £22 million has not been spent, that would be totals cost at completion, there's just a bit of landscaping been done so far
Last edited by Cpt Jack Sparrow; 26 September 2014 at 07:50 AM.
#47
Scooby Regular
iTrader: (5)
http://www.cambstimes.co.uk/news/exc...jobs_1_3778121
#48
The cynic in me wonders if the adjustment of the profit forecast has had a significant enough impact on the potential dividend payout to knock down the share price value.
With regard to who f*cked up and why/how etc ... who really cares?
If, however, it doesn't actually affect the dividend payout, then a small number of people can take a fall from grace so that some can profit massively from the stock market manipulation by buying in now when the price has dropped like a stone and selling when the fuss has all blown over and it has recovered back to where it was.
I wish I'd dropped a couple of £K on this. Oh ... maybe I did.
With regard to who f*cked up and why/how etc ... who really cares?
If, however, it doesn't actually affect the dividend payout, then a small number of people can take a fall from grace so that some can profit massively from the stock market manipulation by buying in now when the price has dropped like a stone and selling when the fuss has all blown over and it has recovered back to where it was.
I wish I'd dropped a couple of £K on this. Oh ... maybe I did.
#49
I suppose it would be more serious if there were irregular share purchases by the directors
but I suspect it was not done for immediate personal gain by the directors i.e. a short term manipulation the share price - they would not be that stupid
more of a cultural thing
but I suspect it was not done for immediate personal gain by the directors i.e. a short term manipulation the share price - they would not be that stupid
more of a cultural thing
#50
Scooby Regular
iTrader: (14)
Join Date: Mar 2013
Location: Bedfordshire
Posts: 2,417
Likes: 0
Received 0 Likes
on
0 Posts
No, not really.
I have worked for the company for 25 years, since leaving the Forces.
So I get really frustrated with the slagging off and the hatred for the company, when I work bloody hard for my wages.
I find it amazing people genuinely want the company to colapse with the loss of 500,000 jobs globally and 320,000 in the UK.
Seems alot of people want to tar everyone with the same brush, when its just a few that cause the problem.
Its very embarrasing telling people who you work for at the moment when I should really be proud of it.
Tha last person told responded with " so you are a fraudster and a crook".... nice!!
That is why I dont like to comment!
however seems ike I just have
I have worked for the company for 25 years, since leaving the Forces.
So I get really frustrated with the slagging off and the hatred for the company, when I work bloody hard for my wages.
I find it amazing people genuinely want the company to colapse with the loss of 500,000 jobs globally and 320,000 in the UK.
Seems alot of people want to tar everyone with the same brush, when its just a few that cause the problem.
Its very embarrasing telling people who you work for at the moment when I should really be proud of it.
Tha last person told responded with " so you are a fraudster and a crook".... nice!!
That is why I dont like to comment!
however seems ike I just have
#51
Scooby Regular
No, not really.
I have worked for the company for 25 years, since leaving the Forces.
So I get really frustrated with the slagging off and the hatred for the company, when I work bloody hard for my wages.
I find it amazing people genuinely want the company to colapse with the loss of 500,000 jobs globally and 320,000 in the UK.
Seems alot of people want to tar everyone with the same brush, when its just a few that cause the problem.
Its very embarrasing telling people who you work for at the moment when I should really be proud of it.
Tha last person told responded with " so you are a fraudster and a crook".... nice!!
That is why I dont like to comment!
however seems ike I just have
I have worked for the company for 25 years, since leaving the Forces.
So I get really frustrated with the slagging off and the hatred for the company, when I work bloody hard for my wages.
I find it amazing people genuinely want the company to colapse with the loss of 500,000 jobs globally and 320,000 in the UK.
Seems alot of people want to tar everyone with the same brush, when its just a few that cause the problem.
Its very embarrasing telling people who you work for at the moment when I should really be proud of it.
Tha last person told responded with " so you are a fraudster and a crook".... nice!!
That is why I dont like to comment!
however seems ike I just have
ps - I think Tesco's is no better or worse than its competition (and better than Morrison's - it may be cheap but have you seen the pond life shuffling around the isles)
#52
Scooby Regular
Join Date: Oct 2004
Location: If you're not braking or accelerating you're wasting time.
Posts: 2,684
Likes: 0
Received 0 Likes
on
0 Posts
I treat shopping in supermarkets like a game or battle of wits if you will.
Just like to see how much I have saved at the end of a shop.
Too be fair it is wrong what they do with their pricing structure.
Some of them are just laughable.They currently have a large display of Lindt chocolates by the ciggie counter with a sign saying :
'NOW ONLY £6'
No reference to what the original price was or what the saving is.
Ref Tescos.My sister deals with hundreds of different companies for her job & consistantly states that Tesco sre the most difficult & unpleasant to deal with.
Last edited by legb4rsk; 23 October 2014 at 05:40 PM.
#53
What is a company, who does it belong to, who runs it, etc.
#55
Also known as daz
After seeing the bullish tactics they use to threaten suppliers who won't tow the line, i for one won't miss them when they're gone.
People tend to remember things like that.
People tend to remember things like that.
#59
Scooby Regular
iTrader: (4)
Join Date: Mar 2009
Location: nr leeds
Posts: 2,473
Likes: 0
Received 0 Likes
on
0 Posts
Tbh I think ppl jump on the bandwagon because its the largest supermarket like the banks etc slagging them off but they have a 30% share so someone must like them.
I use them, nearest to me, always found the staff helpful and polite, some of the deals are dodgy I have to admit so you have to be on your guard.
I use them, nearest to me, always found the staff helpful and polite, some of the deals are dodgy I have to admit so you have to be on your guard.
#60
The word around here is that the situation at Tescos is so deficient that it would actually be generous to call it fraudulent as that would imply some level of street smarts. Arrogant / aggressive. Who knows, but there are a LOT of people watching with interest.