Company in the news: Tesco

Trading is getting worse at Tesco - and life could be tough for a good while yet, says Phil Oakley

Trading is getting worse at Tesco (LSE: TSCO). In Britain, like-for-sales fell by 1.5% during the third quarter, having been flat in the previous three months.

Tesco has lost the initiative in the UK grocery market to Sainsbury's and is no longer benefiting from a growing number of maturing stores. It seems that Tesco is suffering from an identity crisis customers don't really know what it stands for. It is losing out at the quality end of the market to Sainsbury's and Waitrose, and at the value end to Aldi and Lidl.

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Phil spent 13 years as an investment analyst for both stockbroking and fund management companies.

 

After graduating with a MSc in International Banking, Economics & Finance from Liverpool Business School in 1996, Phil went to work for BWD Rensburg, a Liverpool based investment manager. In 2001, he joined ABN AMRO as a transport analyst. After a brief spell as a food retail analyst, he spent five years with ABN's very successful UK Smaller Companies team where he covered engineering, transport and support services stocks.

 

In 2007, Phil joined Halbis Capital Management as a European equities analyst. He began writing for MoneyWeek in 2010.