J Sainsbury (SBRY) shares were remarkably resilient despite a 0.5 per cent contraction in like-for-like retail sales during the fourth quarter. Early headlines highlighted the relapse from quarter three, when the supermarket chain had moved into positive sales territory on this front.
IC TIP:
Buy
at
270p
But the share price has held up thanks to Sainsbury's increasingly diverse business model - a result of its acquisition of Argos from Home Retail Group a year ago. Sales there rose 3.8 per cent, or 4.3 per cent on a like-for-like basis during the final quarter. Bringing the two businesses together, like-for-like sales for the group rose 0.3 per cent over the same period.