Tesco (LON:TSCO) and Volkswagen have partnered up to provide charging points for electric cars, the blue-chip retailer has said. Sky News noted in its coverage that it is hoped that the new network will help drive demand for electric cars.
Tesco’s share price has slipped into the red in today’s session, having given up 0.60 percent to 198.80p as of 08:29 GMT. The decline is largely in line with losses in the broader UK market, with the benchmark FTSE 100 index currently standing 0.59 percent lower at 6,997.43 points. The retailer’s shares have added a little over three percent to their value over the past year, as compared with about a 4.5-percent drop in the Footsie.
Tesco partners with Volkswagen
Tesco and VW announced in a statement yesterday that they were developing what they are expecting to be the largest UK retail Electric Vehicle charging network, powered by Pod Point. Customers will be able to charge their electric cars using a normal 7kW charger for free or a ‘rapid’ 50 kW charger for a small cost in line with market rate.
“This is part of our wider commitment to addressing the environmental challenges that matter most to our customers, colleagues and communities,” Jason Tarry, Tesco CEO UK & ROI, commented in the statement.
The BBC notes that the companies are planning to install almost 2,500 charging bays at up to 600 stores by 2020.
Analysts on FTSE 100 supermarket
The 14 analysts offering 12-month price targets for Tesco for the Financial Times have a median target of 280.00p on the shares, with a high estimate of 300.00p and a low estimate of 200.00p. As of November 24, the consensus forecast amongst 21 polled investment analysts covering the blue-chip grocer has it that the company will outperform the market.
Earlier this month, Barclays named the supermarket as one of its 19 top picks, expecting European equities to recoup some of their year-to-date losses into the year-end.