Tesco PLC (LON: TSCO) has been redefining itself. This week the Tesco share price reached a new 12-month high of GBX 476, before leveling a little at GBX 472. It’s been a strong run for Britain’s largest supermarket whose earnings have grown steadily and flow of positive analyst reports have seen the stock rise.
After years of treading water, Tesco now looks like a very different company, leaner, more efficient, and increasingly confident in its market dominance.
Tesco Share Price Performance: Uptrend Intact
The share price has gained roughly 25 percent in six months, extending an impressive stretch of outperformance versus Sainsbury’s and Morrisons. The rally has been underpinned by consistent earnings delivery and market-share gains.
From a chart perspective, the momentum remains firm. The GBX 460 area now acts as near-term support, while GBX 480–490 is shaping up as a key resistance zone. The 50-day average at GBX 442 shows the stock is trending strongly without being overbought, a healthy sign for buyers still entering positions.
Tesco Share Price Chart Analysis
Tesco’s stock maintains a clean upward channel since May, trading above both the 50-day and 200-day moving averages. The RSI near 58 shows healthy momentum without signaling overbought conditions.
Support sits around GBX 460, while resistance is seen near GBX 480–490. A break above this zone could open the way to the 500p mark, reinforcing the bullish outlook heading into 2026.
What’s Driving the Tesco Share Price Higher
The story of Tesco is in its fundamentals. The firm has increased its market share in the UK by 28.3 percent since March and that is a minor percentage achievement, but a big victory in a grocery market of £250 billion.
The sales increased by 5.1 percent to reach to 33.1 billion pounds and underlying earnings per share increased by 6.8 percent to reach 15.43p. Share payouts were raised by almost 13 percent highlighting the confidence of the management about cash production.
Analysts have taken note. Shore Capital, Jefferies, and Deutsche Bank all renewed their buy recommendations in recent weeks, and Deutsche moved its target to GBX 495, on the basis of improving margins and high free cash flow.
Tesco Share Price Prediction: Analyst Insights and Market Outlook
Most broker forecasts cluster around the mid-400s, showing optimism but acknowledging that some of the good news is already priced in.
| Analyst | Target | Upside Potential |
|---|---|---|
| UBS | 500p | +8.9% |
| JP Morgan | 475p | +3.5% |
| Citigroup | 460p | +0.2% |
| Barclays | 455p | –0.9% |
| Morgan Stanley | 450p | –1.9% |
Tesco Share Price Prediction 2025–2026
Looking ahead, the Tesco share price prediction for the next 12 months sits between GBX 460 and GBX 520, depending on how inflation trends and consumer spending evolve.
A sustained close above GBX 480 could open the way to the GBX 500 area, which would mark a new all-time high. If profit-taking sets in, GBX 440–445 should provide a cushion before the next leg higher.
This steady pattern of higher lows and higher highs fits the company’s renewed growth rhythm. For long-term holders, it signals stability rather than speculation, exactly what most dividend investors want in a core UK holding.
Tesco remains a solid defensive play. It’s not a high-growth stock, but its strong cash flow, steady dividends, and dominant UK market share make it attractive for long-term income investors.
Most analysts see Tesco trading between GBX 460 and GBX 520 over the next 12 months. The outlook is steady, supported by margin improvement and consistent earnings growth.
The rally has been driven by strong quarterly results, rising market share, and higher analyst targets. Investors are rewarding Tesco’s resilience in a tough retail environment and its expanding digital footprint.
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