Greggs, Wizz Air and Scottish Mortgage shares down 40% this year
Media group Future, asset manager Liontrust, aviation expert Wizz Air, tech investor Scottish Mortgage and sausage rolls seller Greggs have all had a terrible time on the markets in 2022.
Scottish Mortgage’s share price has plummeted by almost 46% this year, Wizz Air is down 53% and Greggs has seen 44% wiped off its market value since the start of 2022.
Russ Mould, investment director at AJ Bell, said companies are now under pressure to report “outstanding news” to keep share prices in positive territory and without a change in the direction of monetary policy or uptick in Britain’s economic outlook, the second half of 2022 could prove just as dismal.
He said: “As we approach the halfway point for 2022, investors continue to cross their fingers that markets will have a better second-half than the first six months of the year. Just 59 socks in the FTSE 350 index are currently sitting on share price gains year-to-date.”
Susannah Streeter, senior investment and markets analyst at investment platform Hargreaves Lansdown, said this morning’s retail sales figures, which showed a 0.5% fall in May driven by lower grocery spending, had sliced supermarket share prices in early trading.
Ocado fell 2% while Marks & Spencer dropped 1.5% this morning.
“With signs the post-pandemic spending bubble is bursting, shoppers are expected to be seeking out cheaper deals and Tesco with its stronger brand image for value is proving a bit more resilient, rising 0.6%,” said Streeter.
The FTSE 100 opened higher in early trade with pharmaceutical stocks and defence companies helping to lift the index. The pound dropped slightly before recovering to hover around $1.22, “largely brushing off the latest wave of political instability after dramatic by-election losses for the Conservative party,” said Streeter.