Tesco PLC (LSE:TSCO)<\/a>, the UK’s largest supermarket group, from 500p to 530p while reiterating a buy recommendation, arguing the retailer offers a rare combination of stability and growth at a time of heightened macroeconomic and geopolitical uncertainty.<\/p>\nThe bank’s shares were trading at 472p when the note was published on Monday, leaving an implied upside of around 12% to the new target, with forecast total returns of around 16% including dividends.<\/p>\n
UBS described Tesco as its top pick ahead of full-year results due on 16 April, and said the company was well placed to return to profit growth in the coming financial year after holding earnings steady through a period of significant cost inflation and price investment, including its response to competition from ASDA.<\/p>\n
The bank forecasts group earnings before interest and tax of \u00a33.1 billion for the current financial year, in line with company guidance, rising to \u00a33.2 billion the following year on the back of 3% like-for-like sales growth in the UK.<\/p>\n
UBS said proprietary consumer survey data from its Evidence Lab research unit showed Tesco had overtaken Aldi as the top-rated UK grocer on net promoter score (NPS), a measure of customer satisfaction and loyalty, for the first time since 2017.<\/p>\n
The bank said Tesco’s pricing was now broadly on a par with ASDA, according to data from consumer group Which?, and that Tesco ranked first among all supermarkets for price attractiveness in UBS’s own survey.<\/p>\n
UBS also drew a comparison with Walmart, the US retail giant, noting that Tesco’s recent re-rating to around 15 times forward earnings from 12 times in 2024 was justified and that Walmart’s more dramatic re-rating offered a template for further potential upside as Tesco pursues similar levers of market share gains and alternative profit streams.<\/p>\n
In early afternoon trading, the shares were up 1.8% at\u00a0480.4p.<\/p>\n","protected":false},"excerpt":{"rendered":"UBS raises Tesco target price to 530p and calls it a port of calm amid market uncertainty Proactive…\n","protected":false},"author":2,"featured_media":25276,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[129],"tags":[15583,5255,4360,223],"class_list":{"0":"post-25275","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-ubs","8":"tag-supermarket-group","9":"tag-target","10":"tag-tesco","11":"tag-ubs"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ch\/116171106039818166","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/25275","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/comments?post=25275"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/25275\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media\/25276"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media?parent=25275"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/categories?post=25275"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/tags?post=25275"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
![\"UBS](\"https:\/\/www.europesays.com\/ch\/wp-content\/uploads\/2026\/03\/4359879219d8bdbb952ae1e9be40bcd0.jpeg\")
UBS raises Tesco target price to 530p and calls it a port of calm amid market uncertainty Proactive uses images sourced from Shutterstock <\/p>\n