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FTSE 100 SHOCKER: Is Your Investment in TURMOIL?

The FTSE 100 is putting on quite the show this year, with a staggering 71 stocks soaring! But hang onto your wallets because lurking at the bottom are two disaster zones that have investors sweating bullets!

WPP: The Titanic of Advertising!

First up is WPP, the advertising titan that’s sinking like a stone! Shares have plummeted an unbelievable 47.8% this year, hitting rock bottom levels not seen since 2009! Why the plunge? Experts warn that generative AI is reworking the entire advertising landscape. Platforms like TikTok and Facebook are REPLACING agencies with tools that make creative campaigns a breeze!

Outgoing CEO Mark Reid laid it bare, admitting that AI is “totally disrupting” the industry. With a meager forward price-to-earnings (P/E) ratio of just six and a rock-solid 9.2% dividend yield, how long can this ship stay afloat? But hold on! A new captain, Cindy Rose of Microsoft fame, is set to take the helm in September. Can she steer this sinking ship to safety?

Bunzl: The Once-Stalwart Now Struggling!

Next up on our list of near-catastrophes is Bunzl! This once-reliable performer is down a staggering 29.8% this year! The company, which supplies essential products like packaging and cleaning gear, is facing a storm of issues. Its North American division—responsible for more than half its revenue—has crumbled under pricing pressures and a failed product push.

Management’s forecast? Underlying revenue will likely end up flat this year! To make matters worse, a £200m share buyback was thrown on the brakes after only £115m was spent. Talk about a slap in the face! With shares back at 2016 prices, THIS was the moment to ramp up that buyback, not hit the brakes!

The Verdict: Which Stock Will Rise from the Ashes?

So, what’s the final verdict? WPP is looking like a falling knife—stay clear unless you’re ready to take a serious risk! On the other hand, while Bunzl is feeling the macroeconomic pinch, there’s still hope. CEO Frank van Zanten is hanging onto optimism, stating, “My confidence in the Group’s compounding growth strategy and resilient business model remains unchanged.”

With a forward P/E ratio of 13 and a 3.2% dividend yield, Bunzl’s battered stock might just be the comeback kid investors have been searching for! Grab your chance before it disappears!