TESCO is a British grocery and general merchandise retail company headquartered in the United Kingdom. Its share price has plunged over the last few months by over 24%. The good news is that the company’s share value is beginning to rise again, thus attracting investors looking for ways to invest in the company.
If you are here, you probably are thinking of buying Tesco shares. However, are you fully prepared to invest in this asset? Do you know the proper procedures involved to successfully complete your purchase? Luckily, we prepared this guide to help you get started. Besides understanding how to buy TESCO shares, you will also meet the best platforms or brokers to get started with.
In this guide
Top 3 Brokers for Buying Tesco Shares
Tesco stock is listed on the London Stock Exchange (LSE) under the symbol TSCO. To access the exchange and buy this company’s stock, you need a reliable broker. Not only should the broker have access to the LSE exchange, but it should also be regulated by tier-one authorities, including the Financial Conduct Authority (FCA). We also advise you to consider a broker that allows you to trade TESCO shares in other forms, such as CFDs or indices. This way, you have more opportunities to succeed in trading TSCO stock.
You probably know that finding the best stock broker in the UK is an uphill climb. For this reason, we have listed below the top three brokers for buying Tesco stock that have been tested and approved by our expert researchers. This is to ensure you have the right tools to buy the company’s shares successfully.
1. eToro
eToro is an excellent choice for traders and investors alike. Besides having a user-friendly platform, the broker hosts one of the best learning and market analysis resources. This includes a demo account funded with £100,000 virtual funds to get you started.
What’s more, eToro is the best social and copy trading broker, whereby you get to meet like-minded traders, share ideas, and copy trades with high-profit potential. You can also diversify your portfolio with additional assets from eToro, including currencies, commodities, cryptocurrencies, etc.
Buying or trading TSCO shares at eToro are commission-free, with a minimum deposit of $100. Unfortunately, eToro’s spreads are high, and you will pay fees for funds withdrawal. While copy trading can be of great importance in your activities, accessing the copy trading platform requires a minimum deposit of $200. Its minimum amount per trade is also $10.
Disclaimer: eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. {etoroCFDrisk}% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
Zero commission means that no broker fee will be charged when opening or closing the position and does not apply to short or leveraged positions. Other fees apply including FX fees on non-USD deposits and withdrawals. Your capital is at risk. For more information, click here.
✔Low minimum to fund an account and begin investing
2. Interactive Brokers
Interactive Brokers (IBKR) is a pioneer stock brokerage firm offering quality trading tools and platforms to support your activity. Trading shares in Tesco is commission-free on the IBKR Lite platform, and you can also buy fractional shares. Additionally, there is no minimum deposit requirement or transaction fees. This makes IBKR an excellent option for low-budget traders. The broker also offers an opportunity to diversify your portfolio with other assets, including currencies, options, futures, cryptocurrencies, and more.
Unfortunately, newbies may find Interactive Brokers’ platform challenging to navigate. Its support service can also be improved since they only function five days a week.
✔ Top trading platform for advanced
3. IG Markets
Like eToro, IG Markets allows trading of TSCO stock commission-free. The broker features a social trading platform, IG Community, where you can interact and learn trading tips from other traders. IG Markets hosts quality research materials on its MT4, ProRealTime, and L-2 Dealer platforms. There is a demo account funded with £20,000 virtual funds to help you get familiar with the share market before putting up real money.
IG Markets falls short when it comes to trading and non-trading charges. For instance, its minimum deposit is £300, and spreads are high. The broker requires you to trade at least three times within three months; failure to do so will result in a quarterly subscription fee of £50.
✔ Leading broker with low fees
How to Buy Tesco Shares With eToro?
Many investors are sceptical about buying shares in Tesco because they do not understand the procedures involved. However, buying TSCO stock is easy if you are familiar with the share market and have conducted thorough market analysis. In this regard, here is how to buy Tesco shares with eToro.
You need to visit eToro’s website and create a trading account before buying Tesco stock. Fortunately, we have shared links to easily redirect you to the broker’s website, where you will be required to provide your personal information to create a trading account and choose a username and password.
Note that brokers have different trading terms and conditions, so we advise you to always go through the regulations and accept them before committing to eToro. Additionally, eToro has a mobile app, and it will be in your best interest if you install it on your mobile device to keep you monitoring your investments on the go.
Before your account gets approved to buy TSCO stock, eToro will select the most suitable trading package based on your skill level. To do so, you will be required to complete a basic knowledge. Additionally, there is also a margin trading test to determine a suitable leverage limit for you.
It is a standard procedure by all FCA-regulated brokers to have all traders verify their identity to keep online trading safe and secure. For this reason, eToro will require you to verify your identity by providing a copy of your ID card or passport. In addition, you have to submit a copy of your recent bank statement or utility bill to verify your jurisdiction area.
The minimum deposit requirement at eToro is $100 for you to access LSE and buy TSCO shares. Keep in mind that eToro allows transactions via different methods, including bank transfers, debit cards, and e-wallets. Therefore, make sure the payment method you choose is reliable and transacts fast.
eToro will redirect you to London Stock Exchange, where you will search for Tesco shares using the symbol TSCO. To complete your purchase, choose the number of Tesco shares you can afford. You should also ensure you have conducted the necessary due diligence and know all the risks of buying the company’s stock.
Luckily, eToro allows you to also trade the TSCO shares as derivatives. As a result, you can either benefit from rising or falling prices (CFD) or combine Tesco stock with other companies’ stocks in a single investment (indices).
Tips on How to Choose the Best Stock Broker to Buy Tesco Stock
As mentioned earlier, you need the best stock broker with access to the London Stock Exchange, where Tesco shares are listed for purchase. We recommend the top three brokers to consider and avoid lengthy and overwhelming research procedures. However, should you prefer to conduct research on your own to find the best broker, below are tips to help you identify the one suitable for your needs.
The best broker for buying TSCO shares within the UK must be licensed and regulated by the Financial Conduct Authority (FCA). Remember, while there are legit brokers in the UK, there are also fraudulent ones, and you do not want to choose blindly without confirming their credibility. FCA-regulated brokers guarantee your investment funds’ security and offer the best trading conditions to their users.
You should also confirm a broker’s charges before signing up for an account to ensure it fits your budget. Keep in mind that brokers charge varying trading and non-trading fees, and selecting the one you can afford helps you avoid overspending and draining your nest egg. Some of the charges to confirm include account registration, minimum deposit requirement, commissions/spreads, transaction, and inactivity fees.
When selecting a broker for buying Tesco stock, ensure it has access to the London Stock Exchange, where the company’s shares are listed. If you want to trade TSCO shares without taking ownership, choose a broker that allows you to trade the asset as derivatives, whether as CFDs or indices. You can also consider a broker with additional asset classes such as forex, commodities, cryptos, and other stocks. This way, it will be easier for you to diversify your portfolio and maximize your profit potential.
The best broker for buying TSCO stock must have a user-friendly platform for your skill level. Besides offering a demo account for testing it, the broker should also provide additional resources for skills development and market analysis. In addition, consider a broker with a trading app you can install on your mobile device and manage your positions on the go.
Many investors looking for a reliable broker overlook this element when it is as essential as others listed above. Finding a broker with reliable and dedicated support service is what you need to maximize your potential in the stock market. In case of trading challenges, you are guaranteed quick response and assistance, thus letting you quickly get back to managing your positions. Note that brokers’ support service availability varies, so choose the one that fits your investment schedule.
Once you find a stock broker for buying Tesco stock that meets all your requirements listed above, consider reviewing other users’ opinions. This way, you are assured of making the best choice that supports your activities. To analyse user testimonials and ratings, go to Google Play, the App Store, and Trustpilot.
About Tesco
Tesco PLC is a grocery and general merchandise retail company located in the United Kingdom. Founded in 1919 by Jack Cohen, the company has grown to become one of the leading multinational retailers with over 345,000 colleagues. The company is listed on the London Stock Exchange under the symbol TSCO. To access the exchange and buy the shares, you need a reliable stock broker in the UK, like the ones we recommend above.
Tesco is one of the safe businesses, making it an attractive investment security. Although it is not immune to developing market conditions like inflation, there is always demand for Tesco company products. If you analyse its sales history, you will notice that Tesco’s revenue keeps growing within all the regions it operates. Moreover, the company’s dividend yields are enticing, thus offering great returns to its shareholders. The company is definitely worth short-term and long-term investments.
Learn how to invest in Royal Mail shares in our other guide!
FAQs
You can find the price of Tesco shares on the company’s official website or on the London Stock Exchange. To access the LSE, you must find a reliable broker like the ones recommended in our mini-reviews above.
Yes. Tesco plans to pay its shareholders dividends in 2025, which are done in two installments. The payment months are June and November, with an annual dividend yield of 5.43%.
Yes. If you sell your Tesco shares in the UK, the profits you earn from the sale are subjected to capital gains tax.
Absolutely. You can easily buy Tesco shares via a stock broker regulated by the FCA and has access to the London Stock Exchange, where the shares are listed under the ticker TSCO. We recommend the top three stock brokers for buying Tesco shares above. All you have to do is compare their features and select a suitable one for you.
Tesco was founded in 1919 by Jack Cohen, and it is owned by Tesco public limited company. Tesco is headquartered in the UK, and has other stores across Europe and Asia.
Tesco PLC has many shareholders, but the majority shareholder is BlockRock Inc, with 6.9% of shares outstanding.
Conclusion
Tesco shares have a strong dividend yield and growing sales, making it an excellent investment security. The company’s shares are listed on the London Stock Exchange (LSE), and you need a reliable broker with access to it to buy TSCO stock. Remember, most brokers allow fractional share purchases, allowing you to invest with any amount you can afford. As a beginner, we advise you to start investing with small amounts and install trading apps on your mobile device to manage your positions on the go.
Related Articles:
25,000 hours of testing 70+ brokers. Our recommended broker is Pepperstone.
Our recommended broker is Pepperstone.
