HOW CORONA HAS SUNK YOUR INVESTMENTS
THE sustained rout rattling global markets has wiped billions off the value of Britain’s best-known companies. Although the FTSE 100 rebounded yesterday – rising 2.8pc – it is still down 28.5pc since coronavirus fears really began to grip investors on February 24. Here we look at some of the sectors and businesses that have been hit.
AIRLINES
Companies have been left fighting for their future as demand for flights collapses, planes are grounded and travel bans are imposed. British Airways owner IAG has seen its shares fall 62pc in the past 17 days of trading. Easyjet is down 61pc and Ryanair 42pc, while Eastern Europe-focused Wizz Air is down 45pc and Jet2 owner Dart has taken a 75pc dive.
TRAVEL COMPANIES
Tour operator Tui and cruise company Carnival are sailing dangerously close to the rocks. Tui, down 67pc since February 24, has cancelled most of its customers’ holidays, while Carnival, down 69pc, has suspended all voyages.
On The Beach has been noticeably quiet on the impact of Covid-19 since February, but traders are clearly fearing the worst as its shares are down 64pc.
HOTELS
Intercontinental Hotels has yet to say much on the impact, but brokers have begun reducing their expectations and shares are down 42pc. Hostelworld, the booking platform for hostels, has warned its customers that Covid-19 has had an ‘enormous impact on the hostelling industry’, and its shares are down 64pc. Easyhotel, down 37pc, called the disruption ‘unprecedented’.
TRANSPORT
With fewer commuters out and about, bus and train operators are firmly in the firing line. Shares in South Eastern rail operator Go-Ahead have slumped 76pc, and TransPennine Express firm First Group is down 77pc. National Express has tumbled 70pc, and booking platform Trainline is down 58pc.
SHOPS
Laura Ashley, which has been teetering on the brink for some time, finally announced it would appoint administrators yesterday. Primark’s decision to close several European stores has knocked shares in its owner, Associated British Foods, which are down 30pc since February 21. Card Factory has plummeted 62pc and JD Sports by 61pc.
BOOKIES
The suspension of all horse racing, just weeks before the Grand National, was an added kick in the teeth for gambling firms who were already trying to cope with a litany of sports cancellations. William Hill has suspended its dividend. Shares are down 75pc since the coronavirus crisis began. GVC, which owns Ladbrokes Coral, said the horse racing suspension would drag down its profits by £20m-£25m each month, if no mitigating actions were taken. Its shares have sunk 62pc. Paddy Power owner Flutter is down 37pc.
PUBS
The latest Government advice is warning punters to stay away from their local. The City Pub Group is down 73pc, Marston’s has sunk 79pc, and even cheapand-cheerful Wetherspoons is trading 56pc lower than it was less than a month ago. Wagamama owner The Restaurant Group has lost 80pc of its value as diners stay away.
CINEMAS
Nearly all of the UK’s cinemas shut their doors yesterday. Cineworld was already suffering from the delayed release of the latest James Bond film, and investors took fright at dire North American box office takings last weekend, meaning its shares are now down by 88pc. Indie rival Everyman has fallen 65pc after it too agreed to stop showing movies.
OIL
Coronavirus worries were already pushing down the price of oil, as traders feared reduced manufacturing output in China would lessen demand. Then, on top of that, major oil producing nations Russia and Saudi Arabia kicked off a price war.
The impact on London-listed oil and gas firms has been devastating. Premier Oil has tumbled by 85pc. Tullow Oil, down 78pc, has warned it could go bust.
Even oil titans BP and Shell are down 43pc and 46pc respectively.
SUCCESS STORIES
Despite the market gloom, there have been a few notable outliers.
Shares in Ocado are up 20pc since the outbreak gripped markets, and 26pc in the last three days, as investors think online grocery deliveries could boom. On the medical side,
Tekcapital is up 25pc after announcing one of its portfolio companies was patenting a ventilation system to help patients with respiratory problems caused by Covid-19.
Inspiration Healthcare is up 3pc after the NHS ordered £1.25m worth of ventilators from it.
And Novacyt has climbed 20pc in the past 17 days, and 869pc since the start of the year, amid demand for its coronavirus tests.