Undervalued Retail Stocks

Canny investors who can spot the winners have the chance to snap up shares in the better performing retailers at a lower price

Rodney Hobson 10 January, 2014 | 3:59PM
Facebook Twitter LinkedIn

We didn’t exactly shop ‘til we dropped at Christmas but trading figures for the festive season showed there were undoubted winners in the retail sector and the gap between winners and the losers was wider than usual.

There seems to be an erroneous perception that if one retailer produces poor figures then the whole sector must have suffered and shares tend to be marked down across the board. Canny investors who can spot the winners thus have the chance to snap up shares in the better performers at a lower price.


Unfortunately the winners this time were low priced chains Lidl and Aldi, plus the Co-op and John Lewis, none of whom are quoted on the London Stock Exchange.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Facebook Twitter LinkedIn

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Domino's Pizza Group PLC426.54 GBX-1.17
Greggs PLC2,711.00 GBX-0.48
Marks & Spencer Group PLC139.05 GBX1.16Rating
Morrison (Wm) Supermarkets PLC271.40 GBX-0.84Rating
Next PLC7,944.00 GBX0.53
Sainsbury (J) PLC289.00 GBX-1.03Rating
Ted Baker PLC132.10 GBX-2.15
Tesco PLC233.70 GBX-0.72Rating

About Author

Rodney Hobson

Rodney Hobson  is a columnist for Morningstar.co.uk and author of several investing books, including The Dividend Investor and How to Build a Share Portfolio.

Audience Confirmation

By clicking 'accept' I acknowledge that this website uses cookies and other technologies to tailor my experience and understand how I and other visitors use our site. See 'Cookie Consent' for more detail.

  • Other Morningstar Websites
© Copyright 2021 Morningstar, Inc. All rights reserved.

Terms of Use        Privacy Policy        Cookies       Modern Slavery Statement