Ocado, Moonpig, Cineworld: 3 Stocks to Watch this Week

It was a positive period for stocks last week.

And, out of our three stocks to watch last week, they somewhat performed as expected:

-IHG gained following its results as travel demand boosted revenue.

-Our worries about the housing market (an analysis piece coming soon) are shared, with Savills warning of a slowdown and its stock falling.

-And Boohoo, despite an attempt to push higher at the end of the week, closed lower as demand pressures weigh heavy.

Here’s what we are watching this week:

Ocado (OCDO)

  • Ocado gained last week, but consumer demand suggests the overall downtrend may continue.
  • Website traffic is approaching its pre-pandemic levels after a sharp decline from the 2021 highs, while Google searches are slowly continuing to fall.
  • The company’s retail boss is set to leave at the end of the month, and in May, it warned that sales this year would increase in the low single digits instead of the 10% it previously suggested.
  • With inflation soaring, will Ocado demand continue to lag?

Moonpig (MOON)

  • Another stock that performed well during the pandemic — Moonpig, saw its shares gain last week.
  • However, like Ocado above, website traffic continues to fall, and Google search trends are steadily declining.
  • MOON shares are down 45% this year, but will the decline continue?

Cineworld (CINE)

  • While Cineworld financially is in a bit of a mess, cinema demand has been somewhat resilient this year.
  • According to CinemaUK.org, monthly admissions in June in the UK reached 11.8 million, compared to June 2019 9pre-pandemic) admissions of 13.9 million.
  • The industry has been boosted by some blockbuster releases this year, including “Top Gun: Maverick” and others.
  • However, while we hate to focus only on potentially declining stocks, despite being resilient, cinema attendance is still below pre-pandemic levels.
  • With Cineworld finances already struggling, the current outlook for the stock is not great — is there more potential downside?

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