Thursday, April 18, 2019

Share Price Report Essay Example | Topics and Well Written Essays - 1000 words

Share Price Report - Essay ExampleTherefore this study will win a sharp insight of Tesco plc and Morrison (Wm) Super merchandises PLC as discussed. 1. A plot of the divvy up price of the project companies (Tesco plc and Morrison (Wm) Supermarkets PLC) everywhere the study plosive consonant relative to movements in the FTSE 100 index. Source Author Source Author 2. judge major economic and other events that have affected these companies and their share price over the project period (1st October 2012 22nd March 2013). Tesco supermarket operates under the parent Tesco private limited guild that operates supermarkets and 5 hypermarkets. The supermarket operates under retail industry and offer products such as clothes, toys, Groceries, music, electric products to mention just but a few. The federation reported revenue of 3.15 billion pounds as at 2008.Additionally the profit margin was reported to rise by 9.5% in the subsequent periods (The Telegraph, 2013). This change magnitud e was attributed to its large market share of non-food items causing the prices and the value of its shares to rise. In above connection, Tesco Company had shown great improvements with respect to its shares prices. This could have been attributed to adoption of online trade making it possible for Tesco supermarket to reach legion(predicate) customers within a shortest time possible (The Telegraph. 2013). On the other hand, Morrison (Wm) Supermarket is the public limited company that operates in retail industry with its headquarters in the United Kingdom. Additionally, the company offers variety of products such food stuffs, wines, wellness products, spirits, furnitures, entertainment items pharmacy items to mention just but a few. It has been reported that Morrison supermarket is the fourth largest super market after Tesco and is among FTSE 100 index. Morrison (Wm) Supermarket reported revenue of 18.116 billion pounds in 2013 and a net income of 647 billion pounds (The Telegraph, 2013). Morrison share prices have been influenced by market forces, economic factors such as recession, competitors and technology employed causing a fluctuation on its share prices as shown in table 1.2 at the end of text. According to The Telegraph, 2013, the company was planning to employ grocery technology in order to increase its efficiency, it is predicted that application of grocery technology will help to improve its stocks performance (The Telegraph, 2013). 3. Discuss factors which have affected the sector as a whole. Economic condition was reported to affect performance of the retail sectors more significantly. For instance, the 2008 economic recession was be quiet felt in 2012 and 2013. Such condition may have impacted significantly causing the twain supermarkets to increase prices of food staffs (Yahoo finance, 2013). This further caused share prices for both Tesco and Morrison supermarkets to decline making the value of shares to fall. On the other hand, government and market regulations may have impacted on share prices. Whereby, government may increase corporate taxes, making the company to experience low returns. This may consequently cause a disconfirming influence to the entire sector. Connectively, unfavourable political climate may negatively influence shares price overdue to uncertainty (Puxty, Dodds and Wilson, 1988). 4. Compare and contrast these events and share price movements in these companies with what has happened to the comparator company (Sainsbury (J) PLC) over the project

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