For the week of Sept 16 – 22, the Tobacco industry saw an impressive change in sentiment score of +42 points. Scandinavian Tobacco Group and VST Industries were amongst the companies driving the overall industry sentiment higher.
The sentiment score of Scandinavian Tobacco Group (STG) reached a positive value of 39 points following the company’s acquisition announcement of the leading European cigar company Royal Agio Cigars for 210 EUR million. The acquisition will strengthen STG’s position in various key cigar markets in Europe according to Chief Executive Officer, Niels Frederiksen.
For VST Industries, the company’s shares rallied after the Union Cabinet approved a ban on e-cigarettes on Sept 18, prohibiting the manufacture and sale of such products in India. Other cigarette manufacturers also witnessed a rise in their share price the same day following the news.
Meanwhile, the Integrated Shipping & Logistics industry dropped by 50 sentiment points. Within the category, Royal Mail and FedEx ranked bottom with a sentiment score of -40 and -31 respectively.
Royal Mail is facing the risk of the first UK national postal strike in a decade after a trade union told the company that it will launch a strike ballot of 110,000 workers. The ballot papers will be dispatched on Sept 24 and the results will be available on Oct 15.
On the other hand, the low sentiment score for FedEx was due to a profit warning and muted outlook released last week. Last Wednesday, its shares slipped 13% after the company announced the grounding of some planes and cost-cutting due to trade war impacts.
1 Companies that contributed most to last week’s industry sentiment change.
2 Top trending event related to the respective company.
3 Weekly aggregated company sentiment score (ranging from -100 to +100).
4 Weekly aggregated company attention buzz (the percentage by which the number of news, blogs and tweets about an asset deviates from normal attention).
*Industry name and classification as per Morning Star
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