Weekly Market Movers: Department Stores on Top, Grocery Stores Drop

January 27, 2020

Last week, the sentiment for Department Stores increased 45 points. AEON Co Ltd. and Marks & Spencer Group Plc. led the industry with a sentiment score of 29 and 25 points respectively. 

Top Industry: Department Stores

Japanese supermarket chain Aeon Co Ltd, Asia’s biggest retailer by sales and Japan’s largest shopping mall developer and operator, said it aims to start selling eco-certified sushi this year amid growing demand for sustainable seafood. While its consumers are known for paying a premium for high-quality food products, Japan has lagged behind Europe and the United States in adopting policies on traceability and sustainable fisheries.

Meanwhile, Marks & Spencer has expanded its retail, operations and property leadership team with the appointment of Will Smith as property director and Helen Milford as retail director. Both positions will report into Sacha Berendji, the company’s retail, operations and property director.


Flop Industry: Grocery Stores

At the same time, ‘Grocery Stores’ was the worst-performing industry with a sentiment drop of 35 points. The biggest sentiment losers included Wm Morrison Supermarkets Plc. and J Sainsbury Plc.

One of the UK’s biggest supermarket chains, Morrisons, is reportedly cutting 3,000 management roles as part of a huge restructuring to create more shop floor jobs. The company says those in senior jobs who want to remain working at Morrisons can stay. However, their new offer will be at the shop floor level.

Sainsburys, too, announced to cut jobs as part of previously announced plans to save £500 million in costs. It comes after the retailer has already cut the number of senior leadership roles by more than a fifth since last March. In addition to that, the company has announced that its chief executive, Mike Coupe, will retire in May after six years in charge of the UK’s second-largest supermarket chain.

Notes:

1 Companies that contributed most to last week’s industry sentiment change.

2  Top trending event related to the respective company.

3  Weekly aggregated company sentiment score (ranging from -100 to +100).

4  Weekly aggregated company attention buzz (the percentage by which the number of news, blogs and tweets about an asset deviates from normal attention).

*Industry name and classification as per Morningstar

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