Grocer Morrisons held an investor day on Monday, when it took analysts on a tour of new small-format stores and a regional distribution centre on the south coast.

Jefferies analyst James Grzinic, advising buy, said: “We were impressed by the depth of the management team, the effectiveness of Market Street on a smaller footprint and the expansion
ambitions warranted by the new distribution platform.”

Oriel reported that the analysts’ day showed “both Morrisons’ store format and logistics are in good shape” but argued there is no catalyst to create more share price excitement and stuck to its hold stance.

Oriel analyst Jonathan Pritchard said: “The new small stores carry the Market Street characteristics well and there are many miles and basis points to save in the supply chain.”

But he concluded: “While the shares and forecast are underpinned at their current levels it is hard to see much progress, especially when the general retail sector looks so appealing right now.”

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