WOW 0.00% $32.97 woolworths group limited

WOW likely to take a big hit, page-2

  1. 4,841 Posts.
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    Whether or not WOW retests the $29.00/$29.20 level between now and the release of their report to the market expected on 28/08/15 , I have taken my profit on the swing trade.
    By my observations there is too much pressure on their grocery margins , there is too much uncertainty on their MASTERS direction going forward, and they are treading water awaiting change at the top. The MARKET does not like uncertainty. From what I have gleaned, even with some recent appointments to the board, a complete enema of same may be a further positive.
    I anticipate a down grade in earnings in their August release . This would be a first for WOW since listing in 1993.
    There are some dynamic changes transpiring in this sector which will result in a paradigm shift for WOW in the pecking order ALDI/WES/WOW.
    Metcash have sold their best performing asset, their " jewel in the crown" , the AUTOBARN franchise, to stay alive in the near term.
    Metcash/IGA franchise will not survive. The IGA current advertising campaign about matching prices by them walking into the opposition stores ?????? I have seen two IGA stores in my area{ 10k radius} close and have been replaced by ALDI on those sites. A sign of what is to come?
    It will be a leap frog opportunity for ALDI with no opposition from ACCC.
    COLES , at the moment, are in a perfect place, price makers and not price takers in relation to WOW.
    ALDI have made a BIG move in their recent TV ads to emphasise the origin and content of their offerings...more to follow.
 
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