Morrisons
London, UK – February 25, 2019. Shoppers outside the front of a Morrisons store in Hatch End, London. WM Morrison is the UK’s fourth largest chain of supermarkets

The Morrisons share price will be in the spotlight this week as the company publishes its quarterly results. The stock ended last week at 179p, which was 4% higher than its year-to-date low. It has lagged other British supermarket stocks like Tesco and Sainsbury in the past 12 months.

Morrisons shares vs Tesco and Sainsbury

The background: Morrison’s is a major UK supermarket chain with almost 500 stores in the UK. It competes with other retailers like Tesco, Sainsbury, Aldi, and Asda, among others. These companies have done relatively well during the pandemic. 

Because of government support, the unemployment rate in the country has not been as bad as in other countries. Also, the recent Brexit deal helped relieve pressure on retailers. However, there are concerns about whether this growth will continue as the economy reopens.

Morrisons earnings: Morrissons share price will be in the spotlight next week as investors focus on its quarterly earnings that will come out on Tuesday. In general, analysts expect some solid results for the quarter. Stil, analysts will be focusing on the company’s costs and e-commerce sales.

In the previous FY earnings, the company said that its same-store sales surged by 8.6% while total revenue rose by 0.4% to 17.6 billion. It also recommended a dividend of 5.11 pences. 

Morrisons share price analysis

The four-hour chart shows that the Morrison share price has been crawling back recently. The shares have risen by more than 4% this month. Along the way, it has moved above the 25-day and 15-day exponential moving averages while the Relative Strength Index (RSI) has moved close to the overbought level. 

From a distance, the stock seems to be forming a head and shoulders pattern and a small rising wedge pattern. Therefore, I believe that the shares will have a pullback next week after earnings. If this happens, the next key level to watch will be the support at 172p.

MRW share price chart

Morrisons share price
Leave a Reply

Your email address will not be published. Required fields are marked *

Sign Up for Our Newsletters

Get exclusive content in your inbox.

You May Also Like

DiDi Stock Price Forecast: Buy the Dip or Sell the Rip?

The DiDi stock price has dropped sharply after the latest crackdown by China. We explain the motive behind the crackdown and what to expect.

5 Stocks to Watch This Week: SFIX, GME, AMC, Chewy, AAP

Stitch Fix, GameStop, Chewy, and Advance Auto parts will publish their first-quarter earnings while Monday.com and TaskUs will launch their IPOs.

Alibaba Stock Price Analysis: A Better Buy than Amazon

Alibaba stock price is in a bear territory as the Chinese government crackdown intensifies. We explain why it is a better buy than Amazon.

Plug Power Stock Price Forecast After Mixed Earnings

Plug Power stock price rose by more than 7% after it released mixed quarterly results. We explain what to expect now that it is stuck at the 200 EMA.