STW share price collapses wiping $100m off company value in one morning
STW Communications Group has seen its share price plunge by more than 25 per cent today after the group announced its net profit was down 7.8 per cent to $45.6m.
As of 12.30pm STW shares had dropped to 76 cents, after closing at $1.028 yesterday, meaning it shed more than $100m off its market capitalisation this morning.
The crash came after Australia’s largest marketing services group revealed its earnings dropped by five per cent last year, with CEO Mike Connaghan pinning the blame on the group’s new business record and signalling it would undergo a “strategic and structural review of the business”.
Comment is being sought from STW Group.
So WPP will get it cheaply, split it up and sell it off. All over by June?
Better starting making some acquisitions and winning pitches!
Can’t WPP just buy them already?!!
Be worth less than Enero by the end of next week…
Once the diversification into plastering and drywall comes on stream they’ll bounce back.