Not the most exciting share, but with safeway conversion now complete (and how much better the old safeway stores are now) the shares should start to come back. Already started a nice rise from a recent low. Costs for conversions will still hold the price back but when that is out of the way, should be be nice. 190p

Broker note from Shore Capital:
"Morrison, the Bradford based supermarket group, has surprised us this morning with the announcement that it has acquired Kiddicare. The food retailing business, that has said to date that it will remain a focused grocer, indeed this perspective was highlighted as a point of difference in recent times by senior management, has decided to diversify into on-line baby products.

Indeed, Morrison bills the acquisition of Kiddicare as the first stage of its e-commerce strategy, on which on balance we take comfort as to a perhaps a rapidly evolving growth strategy for the UK food retailer most dependent upon the low growth grocery channel. As a first stage it also raises questions as to what Dalton Philip's second and third e-commerce stages are likely to be; no doubt we will find out a little more with the preliminary results on the 10th March 2011. For what it is worth we do not see merit or the likelihood of Morrison shelling out 1.4bn+ on Ocado (OCDO^, Sell at 155p) as a mechanism to enter on-line grocery; that would be a) more costly, b) materially earnings dilutive and c) debilitating to group capital returns.

So, an interesting move that sets the mind whirling as to what are Dalton Philips' plans for Morrison. One senses that it is not going to be more of the same, which may provide for some excitement. However, until we are clear as to mix of performance, direction, balance sheet and medium-term valuation, we reiterate our HOLD stance on the shares."

Wm Morrison has announced its long-awaited move into online shopping with the 70 million purchase of Kiddicare, the online retailer of baby products. The acquisition is part of an ongoing strategic review by Dalton Philips, the chief executive of Morrison who arrived in June 2010, to try and reinvigorate the supermarket chain

perhaps that's why a little fillip for the shares today

Indeed indeed.

A healthy Broker backing. Forward P/E of just over11 to 2012 rather cheap.

Morrison (Wm) Supermarkets PLC

FORECASTS 2011 2012
Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

ING Financial Markets
15-02-11 BUY 22.76 9.10 25.95 10.37
Exane BNP Paribas
15-02-11 BUY 878.00 22.39 9.13 993.00 25.35 10.33
Seymour Pierce
15-02-11 HOLD 860.00 22.30 960.00 25.20
Arden Partners
14-02-11 BUY 862.51 22.40 9.38 955.06 24.40 10.35
Shore Capital
11-02-11 HOLD 859.00 22.30 9.40 943.00 24.90 10.50
Numis Securities Ltd
03-02-11 HOLD 872.20 22.70 9.40 964.10 25.10 10.40
The Royal Bank of Scotland NV
25-01-11 BUY 866.68 23.14 9.25 943.11 25.53 10.21
Charles Stanley
20-01-11 ACCU 855.00 22.60 9.04 950.00 25.00 10.00
Evolution Securities Ltd
10-01-11 ADD 868.00 22.48 9.10 955.00 25.06 10.20
Altium Securities
10-01-11 BUY 870.00 22.90 9.30 980.00 25.80 10.50
Collins Stewart
26-10-10 BUY
SG Securities
26-10-10 BUY 22.97 9.00 25.37 10.00
Execution Noble
11-03-10 BUY
Nomura Research Institute [R]
09-03-10 BUY 890.00 23.64 956.00 25.38
Fyshe Horton Finney Ltd
25-01-10 HOLD
Eden Group
02-12-09 BUY

2011 2012
Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)
Consensus 865.34 22.59 9.24 959.78 25.23 10.33
1 Month Change -0.42 0.00 0.01 -1.87 -0.00 0.01
3 Month Change -2.43 -0.13 0.00 -4.62 -0.14 0.02


GROWTH
2010 (A) 2011 (E) 2012 (E)
Norm. EPS 9.68% 20.29% 11.70%
DPS 23.45% 52.02% 11.76%

INVESTMENT RATIOS
2010 (A) 2011 (E) 2012 (E)

EBITDA 1,115.00m 1,224.79m 1,342.69m
EBIT 811.00m 903.25m 1,002.65m
Dividend Yield 2.17% 3.30% 3.69%
Dividend Cover 3.09x 2.44x 2.44x
PER 14.91x 12.40x 11.10x
PEG 1.54f 0.61f 0.95f
Net Asset Value PS 183.14p 199.73p 210.32p

Wow just look at the Broker SP targets and looks like most havent upgraded for yesterdays bolt on........

Date Broker name New Price Old price target New price target Broker change

15-Feb-11 Seymour Pierce Hold 280.00p 520.00p - Reiteration
04-Feb-11 Matrix Group Buy 278.90p 325.00p - Reiteration
04-Feb-11 Sanford C. Bernstein Outperform 278.90p - - Upgrade
04-Feb-11 UBS Buy 278.90p 290.00p 315.00p Upgrade


Im fact just looks like Seymour Pierce are the ones who have upgraded as per note yesterday.

told ya my little acolyte

Not done much for the sp ..........yet, Fingers crossed.

280 is a key level from memory, and sp sitting on that now

this 280 resistance is proving to be a real pain .... let's hope that when it is finally and properly breached, it will be like a champagne cork

Indeed indeed.

They do a lovely line in strawberry punnets.

Trained one of the top bod exucutives up in accountancy when I was at Woolies. Good lad had an MG midget and it went like the clappers.

Done very well for himself from Bradford the HQ.

how much is the final div please

Next divi should be in the first week of may, which will be the Final divi for the financial year. No idea what it will be (last year was 7.12p). I presume they will announce that when they release their year end accounts.

bought in to these today 9455 at just under 280p

T - you do buy some very strange amounts!

yes i do it all depends how much cash i have spare at the time
have just moved 70k from my bank to my nom acccount to buy more of MRW

cynic the reason i am buying into mrw is they will be taken out .
and it will be this year

.

the bid could come soonr than i thought

who says?