Burberry Group PLC (LSE:BRBY) and easyJet PLC (LSE:EZJ) are set to depart the FTSE 100 in the next quarterly reshuffle, according to wealth platform Hargreaves Lansdown.
Likely replacements are insurer Hiscox and property group Tritax Big Box.
Down a level, stripped-down computer maker Rasperry Pi is set to oust IP group in the FTSE 250.
According to Sussanah Streeter, HL’s head of equity research said Burberry has reported a sharp decline in revenues, falling at double-digit rates during the first quarter. In response, the company has suspended its dividend to strengthen its balance sheet amid ongoing challenges.
The new CEO, Joshua Schulman, is faced with the daunting task of reversing the company's fortunes.
EasyJet continues to encounter headwinds in the low-cost aviation sector, with concerns about a potential softening in demand.
Despite a better-than-expected third quarter, the company has not regained its pre-crisis momentum.
Tritax Big Box has seen positive investor sentiment as it shifts its strategy to capitalize on both large and small warehouse and logistics centres, crucial for e-commerce trends.
The company recently completed a key acquisition of UK Commercial Property REIT (LSE:UKCM), which adds complementary assets to its portfolio.
Hiscox shares have risen on speculation of potential acquisition interest from Japan’s Sompo Holdings and Italy's Assicurazioni Generali Spa.
Raspberry Pi (LSE:RPI) made a strong stock market debut, with its shares soaring. The company now manufactures computer modules for industrial clients in the Internet of Things sector.
IP Group has been impacted by geopolitical factors and global economic uncertainty, leading to a decline in the valuations of its holdings.