U.K. Grocers’ Stock Outperformance Faces Inflation Test
(Bloomberg) -- U.K. grocers’ stock outperformance of the past year may soon be tested. As supermarket chains including Tesco Plc, J Sainsbury Plc and Marks & Spencer Group Plc release sales updates this week, inflation will be the “immediate talking point,” according to Shore Capital, with earnings expectations determined by how well companies have managed cost pressures. The sector got a boost in 2021 from private equity interest, along with profit upgrades at Tesco and M&S.
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