Holding company share prices drop to fresh low amid coronavirus outbreak

Stock market: share prices for holding companies are down
Stock market: share prices for holding companies are down

WPP and Publicis share prices fall 8% and 6% respectively.

Advertising and media stock fell to a fresh low when financial markets opened this morning (Monday) as coronavirus jitters continue.

WPP’s share price fell about 8% to 669.40p when the London Stock Exchange opened, having closed at 724.40p on Friday. 

On Monday 3 March it was 740.40p, equating to a week on week drop of 10%.

The holding company’s Group M network of agencies is the biggest media buyer in Britain with roughly 40% market share.

Publicis Groupe’s share price opened at 31.00 euros, down 6% from 32.85 euros.

The business is made up of agencies including Zenith, Starcom and Bartle Bogle Hegarty. It began last week (Monday 3 March) at 35.00 euros and fell 6% over last week. 

The New York Stock Exchange has yet to open. Omnicom, which owns Adam & Eve/DDB, OMD and PHD, closed at $65.82 on Friday. On Monday last week it was at $69.68 – down 6% over the week. 

Interpublic, owner of McCann and FCB, is also on the NYSE. It closed on Friday at $20.04, having begun the week at $21.50 – down 7%.

Campaign reported at the end of last month that holding company share prices fell by as much as 10% in a week.

The impact is also being felt on TV, as ITV reported last week that it expects a 10% drop in adspend in April as travel brands delay their campaigns because of Covid-19. 

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