BUCKS TO WATCH: Burberry bosses could draw blood at AGM with next bidding update best approached with low expectations
It’s a busy week ahead at Burberry, with bosses set to draw blood at their annual meeting, followed by the release of a trading update that’s best approached with low expectations.
Glass Lewis is advising shareholders to vote against the reappointment of Danone chief executive Antoine de Saint-Africa as a director, warning he could be overwhelmed if the luxury giant faces a crisis.
Meanwhile, Peerke is urging investors to take issue with the pay report, pointing out that Burberry executives are paid 44 times more than the average employee.
A volatile future: Burberry shares have already fallen this year
Analysts expect trade figures to be announced on Friday to show a more than 40 percent drop in first-quarter revenue due to the economic situation in China and the Covid lockdown.
With that in mind, stocks have already fallen this year.
Sophie Lund-Yates of Hargreaves Lansdown warns that shaky forecasts could hit stocks further.
Novacyt’s former boss at Love Hemp
Former Novacyt chief executive Graham Mallis has taken over as chairman of Love Hemp, the cannabis company whose shares in Aquis were suspended in May.
Love Hemp’s corporate adviser quit when an investor failed to put up £1.2m in February, prompting the suspension.
No replacement found yet. Before the pandemic, Mullis was a little-known boss outside of biotech circles.
Novacyt’s breakthrough work to create a Covid test in 2020 sent its stock soaring and turned it into a stock market darling.
But the AIM-listed firm’s star has since faded and it is now battling the Department of Health and Social Care.
Greggs is looking at the gas station market
As sales in city centers lag, Greggs is eyeing the petrol station market.
It is opening its first store with fast-growing grounds operator Ascona.
Another 30-plus are expected to follow over the next five years.
Greggs is the UK’s leading budget baker, but the FTSE250 group said in May it was suffering from an ongoing shift to “hybrid” operations.
Ascona’s 59 sites across England and Wales serve 170,000 customers a week.
B&Q owner Kingfisher is the latest target for hedge funds
Almost 8.6 per cent of the FTSE100 group’s shares are on loan to short sellers, who are betting on the share price to fall.
This amounts to a whopping £420m position against the group, which was previously one of the “winners of the pandemic” after those stuck at home during the lockdown hurriedly tackled renovation projects and spent more time working from their spare rooms.
A “learning” day for analysts and investors last week had little effect, and some short positions rose afterward.
Short rates have also increased as the scale of the cost of living crisis becomes more apparent and threatens to hit sales.