Tesco’s share price is down >25% YTD, plagued by weakening consumer sentiment and increased earnings pressure in the UK. Even the strong half-yearly performance could not lift investor sentiment. We expect consumers to incline more towards the German discounters in the near-term, looking to cut corners wherever possible. The recent rebound at close competitor Asda (lesser market share erosion) complicates the matter further. While Tesco’s mid/long-term fundamentals and valuation remains attracti ....
