WOW - Woolworths Group

[Belli]

... I suspect the Metro will be selfselecting in terms of clientele.

My father told me he used to be able to go into a supermarket with $2 in his pocket and come out with bread, eggs and maybe butter. Now, he said, they have cameras everywhere.

Is that the self-selecting clientele to which you are referring?

 

[Dona Ferentes]

My father told me he used to be able to go into a supermarket with $2 in his pocket and come out with bread, eggs and maybe butter. Now, he said, they have cameras everywhere.

Is that the self-selecting clientele to which you are referring?

maybe I should have changed her name to Karen, to protect the innocent.

 

[Value Collector]

Yes it has been a long time since I actually saw a Coles or Woolies butcher handling a side of lamb, beef or anything else on the block, in our local they just look like meat packagers, wrapping blister packs.

It’s all automated these days, in central facilities. No butcher can keep up with these robots doing it by hand.

 

[mullokintyre]

I omitted to state my reasons for picking WOW in the yearly comp.
Thanks to @debtfree for pointing out my mistake.
It is a good defensive stock, people will cut down on eating out or getting takeaway meals if things go southbound as I expect.
WOW will sell lots of cheaper foodstuffs to compensate.
May not increase in price . but will not decline much.
Mick

 

[finicky]

I remember when there was a scare campaign over Aldi's entry to Australia and Aldi was going to shrink the custom of Woolies and Coles. Unfortunately I took notice of it at the time.
Actually I just googled it and Aldi first landed in 2001 ! but I remember the scare campaign came much later - looks like the 2014-2016 period from WOW's chart. Maybe Aldi were committing more capital at that time or gaining traction.

Held

 

[Dona Ferentes]

Woolies, and Coles for that matter, has the status of 'anchor tenant' which delivers tangible and unseen benefits

 

[finicky]

Yeah, I recall at the time WOW was languishing someone countered that Wooolies and Coles had the best locations sewn up. Anyway, got to say I find them much better shopping experiences than Aldis plus a better chance of finding quality - just subjective.

 

[divs4ever]

Aldi has it's moments but i find i cannot regularly do all my shopping there

but i tend to prefer Coles ( i hold both COL courtesy of the WES demerger and WOW the remainder of a much larger inherited parcel )

i do regret dumping MTS when they seemed a hopeless case , they have some well-run stores/outlets as well

 

[mullokintyre]

WOW is one of my 2024 comp picks.
It has fallen since the start of the year, and while Dutton called for a boycott over the WOW stance on no longer selling Australia day paraphenalia, its SP has largely mirrored that of the ASX, so I don't think WOW is going to do a Budd Light.
Mick

 

[mullokintyre]

Is Woolworths (ASX: WOW) a BUY for Defensive Investors?​

Is Woolworths (ASX: WOW) a BUY for Defensive Investors?

Woolworths (ASX: WOW) has good defensive qualities, providing food and discount merchandise in Australia and New Zealand. Inflation benefits Woolworth revenues.

thebull.com.au

i hold WOW ( less than 10% of the holding i inherited )

Well @debtfree , so far it has not proved all that defensive, indeed just the oposite.
As the market has gone up, WOW has gone in the opposite direction.
So far it is the only one of my canny picks that is below the entry price.
Should I be worried?
mick

 

[divs4ever]

Well @debtfree , so far it has not proved all that defensive, indeed just the oposite.
As the market has gone up, WOW has gone in the opposite direction.
So far it is the only one of my canny picks that is below the entry price.
Should I be worried?
mick

short term .. probably

i hold WOW ( 'free-carried' ) ( less than 10% of the parcel i inherited )

however WOW is known for it's shuffling of deck-chairs

maybe the next board refresh is coming sooner rather than later

 

[sptrawler]

Well @debtfree , so far it has not proved all that defensive, indeed just the oposite.
As the market has gone up, WOW has gone in the opposite direction.
So far it is the only one of my canny picks that is below the entry price.
Should I be worried?
mick

It could be worse, you could have gone with one of the green sky dreaming team, like Neometals (NMT) or Calix (CXL).

 

[rcm617]

Well @debtfree , so far it has not proved all that defensive, indeed just the oposite.
As the market has gone up, WOW has gone in the opposite direction.
So far it is the only one of my canny picks that is below the entry price.
Should I be worried?
mick

Probably a reaction to the supermarket inquiry by the ACCC, state governments and the unions. I have to say when I was farming the two supermarkets always paid a couple of dollars above the price paid by central markets, so cant see where the price gouging comes in. Its pretty fashionable to blame everything on the big two, however there is choice to buy at aldi or IGA, but most people choose not to.

 

[Value Collector]

I remember when there was a scare campaign over Aldi's entry to Australia and Aldi was going to shrink the custom of Woolies and Coles. Unfortunately I took notice of it at the time.
Actually I just googled it and Aldi first landed in 2001 ! but I remember the scare campaign came much later - looks like the 2014-2016 period from WOW's chart. Maybe Aldi were committing more capital at that time or gaining traction.

Held

I think 2014 - 2016 troubles at WOW were caused by Masters failure Becoming evident. I can’t remember Aldi having much real impact on WOW and Cole’s.

 

[divs4ever]

Probably a reaction to the supermarket inquiry by the ACCC, state governments and the unions. I have to say when I was farming the two supermarkets always paid a couple of dollars above the price paid by central markets, so cant see where the price gouging comes in. Its pretty fashionable to blame everything on the big two, however there is choice to buy at aldi or IGA, but most people choose not to.

thanks for reminding me i probably made an error dumping MTS a couple of years back

i hold COL ( courtesy of the WES demerger ) and WOW ( 'free-carried' )

back in the early '70's WOW used to wield it's ' buying power ' around with manufacturers , i don't know if they still do that , but probably do to some extent

normally i prefer COL ( as an ex-WOW employee ) but IGA gets a share of my business because they are closer/less packed

 

[mullokintyre]

My defensive pick of WOW for the yearly comp seems to have been just the opposite.
Its SP going down, now its CEO is going in September as he decided he "needs to spend more time with the family" after the embarrassing interview on ABC being the last straw.
It seems a female has been chosen as heir, which means both major supermarkets will have the correct gender as CEO.
Mick

 

[Dona Ferentes]

after the embarrassing interview on ABC ..

missed that, but yes, a bit tricky. I'm sure the visuals conveyed more.
.
... (The) interview with robust Four Corners reporter Angus Grigg provoked a flash of temper.

Grigg’s aggravation was benign and totally predictable. All he did was ask “Brad” (it said so on his name tag) about comments made by ex-ACCC chief Rod Sims that Australia had one of the most concentrated grocery markets in the world.

“It’s not true,” responded Banducci. “[He’s] retired, by the way”, he added, in a riveting two-minute extract of the 30-odd minute encounter released by the ABC for promotional purposes ahead of Monday’s program. The momentary churlishness of this quip took milliseconds to become obvious to the experienced retail chief, who asked for it to be stricken from the record. Grigg didn’t agree. Banducci took this in, then got up in frustration. “I do this with good intent,” he fumed. Once he cooled down, the interview continued.

 

[divs4ever]

My defensive pick of WOW for the yearly comp seems to have been just the opposite.
Its SP going down, now its CEO is going in September as he decided he "needs to spend more time with the family" after the embarrassing interview on ABC being the last straw.
It seems a female has been chosen as heir, which means both major supermarkets will have the correct gender as CEO.
Mick

which gender is that ??

given the proliferation of new genders , it must be hard guessing tomorrow's correct gender

interesting to see 'rising star' Brad , go for a rest after the recent ructions at his former post ( that is now EDV )

a sign of things to come , perhaps ??

in my view not more than a $20 share ( given the divestments )

i hold WOW ( 'free-carried' ) ( or less than 10% of the holding i inherited in 2011 )

 

[finicky]

Omg, Woke Woolies have retired an excellent M.D and CEO and they're replacing him with someone strong, independent, and magnificent (a woman, need one say these days). Great job Brad. He was baited in that interview, his comment about the retired ACCC head putting his oar in was quite benign. It's govts and CBs that are inflating not grocery outlets. What the hell are our two big chains supposed to do about "concentration" in their sector anyway? What a socialist tack to take by govt, ACC policing body and the media. WOW and COL just easy targets to blame. Aldis came in. Got IGA.

"Woolworths Group advises that Managing Director and Group CEO of Woolworths Group, Brad Banducci, has given notice of his intention to retire .."

Held and Holding

 

[Powerup]

G'day everybody, it’s great knowledge shared on this forum and very interesting opinions, I find I lot of it goes over my head tho. At times it is overwhelming for me as I am still very new to stock investing. I really enjoy learning about stock investing, from reading the posts here. Well done for being very generous with your time and an informative online community.


In regard to WOW would this be a good choice to invest now, like one of those Warren Buffett quoted situation "be greedy when others are fearful" or is it going to continue dropping, does it still have a ways to go down further. – what do you reckon?