DSG International, the £3.1bn owner of the Dixons and Currys electrical retail chains, is unlikely to deliver sparkling news in its interim results on Wednesday, but its share price has still risen steadily in recent weeks.
Investors and analysts alike appear to have accepted that trading has been tough on the high street, but DSG’s breadth means it is likely to have taken market share. That should mean it is well positioned if and when a recovery happens.
Shares in DSG slipped as low as 139p in the autumn as fears of a meltdown in retail spending took hold. But signs of a recovery in spending and better than expected Christmas trading have seen its share rise as high as 171p since the turn of the year.
Neither has DSG been cowed by tough trading. In the past week it has announced the £34.5m acquisition of Finnish electrical retailer Markantalo. The deal takes its portfolio in the country to 40 stores and makes it the market leader there.