Shares of British pub operator, JD Wetherspoon Plc (LON: JDW) today fell 8.41% despite the lack of major releases and could be attributed to shifting investor sentiment.
The company’s shares have been falling for the past three days since 7th September and the drop could have been much greater had the pub chain not extended the ‘Eat Out to Help Out’ discounts up to November.
The extension of the 48% discount on most of its food items and soft drinks up to 11th November is likely to keep customers trickling into its stores since the government Eat Out to Help Out subsidy programme ended on 31st August.
Wetherspoon seems to have fared much better than many of its peers in the UK hospitality given the over 5.7 million check-ins on its track and trace system across its UK and Republic of Ireland locations.
Investors are still cautious on most hospitality companies including JD Wetherspoon as experts expect the sectors recovery process to last into 2021 due to the coronavirus related restrictions.
Many older customers are also hesitant to eat out given their high susceptibility to the coronavirus and it will take a while before restaurants are full again.
Jd Wetherspoon Plc share price
JD Wetherspoon shares today fell 8.41% to trade at 958p having closed Tuesday’s session trading at 1046p.