Morrisons downgraded to hold from buy at Shore as CEO joins M&S

'We cannot imagine how Sir Kenneth Morrison feels about Mr Bolland's departure so soon after his appointment, bearing in mind the time that was taken to identify and capture Mr Bolland from Heineken.

'Also, the relatively brief tenure of Mr Bolland's reign, following the decades of rule by Sir Kenneth, is highly noteworthy.'

Shore believes Bolland's departure is not the end of the world for Morrisons but is highly significant.

'What does it say about the company's strategic prospects, bearing in mind that these are far from clear and a subject that we and we know many investors worry about? Has the Morrison story got as good as it gets for Mr Bolland?'

Speculation will now start over his replacement. 'We would point out that while strategic questions remain, any new appointment would have access to the resource of a +90% freehold estate, modest debt and strong cash flow.'

Shore retains its hold rating on M&S.

Story provided by Business Financial Newswire