Three to sell

Deliveroo

The Times

Shares in food-delivery app Deliveroo are trading at just a third of their 390p listing price. The company has set itself the target of breaking even at some point between the second half of 2023 and the first half of 2024 before turning a profit, but it’s struggling with a post-pandemic comedown and the increasing competitiveness of the fooddelivery market. It has £1.3bn on its balance sheet, over half of its market capitalisation, but this balance “is only heading one way” as it seeks to invest in improving its platform and increase marketing spend. It has also faced a number of legal challenges over the status of its workers. Avoid. 113.6p

Informa

The Telegraph

An “uncertain outlook for the world economy” is a risk for the business information and exhibitions firm. Some countries in Asia and Latin America are yet to recover from the effects of the pandemic and remaining travel restrictions in some parts of the world do not bode well for its events business. There is scope for it to build its subscription revenues and develop its online presence, but it remains too dependant on inperson events. Sell. 549p

Restaurant Group

Investors’ Chronicle Restaurant Group’s main brands, such as Wagamama and Frankie & Benny’s, have posted promising figures, but “finance charges pushed it into the red” and it fell to a third consecutive annual loss. Revenue is still significantly below 2019 levels and it would be “unwise to underestimate the economic headwinds”, from higher energy costs to labour shortages. There are some positives to take from its latest results, but the future looks too uncertain. Sell. 74p