Nobody could say how politically and economically stormy they have been over the last five years, looking at Tesco (LSE: TSCO) Price of shares. This is a photo of tranquil progress up, climbing 90% in five years, 60% in three and 30% in the last 12 months.

Tesco no longer chases global domination and this can be its greatest strength. Instead, it is primarily on the head of the domestic food market and does a good job out of it.

Sample ftse 100 supply

The results of 2024, published in April, showed similar sales in Great Britain and Ireland by 4%, while the operational profit increased by 10.9% to 3.13 billion GBP, and the profit per share increased by 17% to 27.38 pens.

These mighty numbers transferred to the Tesco Q1 update, published on June 12. Group sales increased by 4.6% to 16.38 billion GBP, and sales in Great Britain rose by 5.1% to 12.3 billion GBP. Market share also increases, increasing by 44 base points to 28%. Both food and food achieved profits, and online sales increased by 11.5%.

Dividends are constantly growing

Another great Tesco attraction in Tesco is another great attraction. The year -round payment increased by 13.22% to 13.7 pens in 2025, 11% escalate in the year earlier. The performance is currently 3.26%, slightly below FTSE 100 Average, but only because the price of the action was racing.

Forecasts suggest a slower dividend escalate next year, with an escalate of 1.5% to 13.9 pens, then 8.6% in 2027 also reverses cash through the purchase of shares. From October 2021, Tesco bought 2.8 billion pounds of shares.

This behavior is amiable to shareholders. These redemptions reflect confidence in the company’s ability to generate mighty future cash flows.

Narrow margins

Supermarkets work on tight margins, and Tesco is not an exception at 3.9%. As the employer’s social insurance increased in April, along with a immense escalate in the minimum wage, these margins will remain lean. The price war based on ASDA will not support.

Analysts forecast that the profits will be constant, but they do not grow. The current price indicator for 15.35 profit, which looks rather fair value, not a valuation. The balance is solid and the net debt dropped by 2.4% to 9.45 billion GBP last year. But because inflation is still sticky and a stretching cost crisis, there is a lot of space for compact -term variability.

The sentiment of the analyst remains mighty

Can shares climb another 30%this year? I would say it looks unlikely and I’m not alone. 13 analysts with year’s forecasts came alive in the median of the 422.9p target, about 0.7% above today’s 420p. This is quite a slowdown, although, as always, the forecasts are not set in stone. Estimates range from 360p to 470p.

Therefore, investors should not assume that they can still jump on the Tesco sauce train and enjoy a further constant growth. It can tardy down from here. But everyone who wants to buy reliable ftse 100 dividends with a long -term view should continue to consider this. Especially if we receive a summer drop in the stock exchange.