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August 8, 2022
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Retail investors lose patience with airline stocks and ditch pharmaceutical companies in Q2, shows eToro data

  • Data from eToro shows which companies saw the biggest increase and decrease in holders on its platform in Q2
  • United Airlines Holdings (-8%) and Delta Air Lines (-7%) were both in the top 10 fallers, along with pharmaceutical giants Merck & Co (-19%), and Pfizer (-6%)
  • Twitter saw the largest rise in holders, jumping 137%, whilst users also flocked to Shell and BP amid global gas price surges, with the number of users holding these stocks rising 43% and 39% respectively

 

Retail investors are ditching pharmaceutical companies while appearing to lose patience with airline stocks, according to the latest quarterly stocks data from social investing network eToro.

eToro looked last week at which companies have seen the biggest proportional increase and decrease in holders at the end of Q2 versus the end of Q1. Two airlines feature in the top 10 fallers – United Airlines Holdings (-8%) and Delta Air Lines (-7%) while two prominent pharmaceutical companies also feature – with US firm Merck & Co first on the list (-19% globally and -21% in Romania) and Pfizer (-6%) also featuring.

At the other end of the spectrum, the biggest riser quarter-on-quarter was Twitter, which saw a 137% (biggest riser also in Romania with 68%) increase in holders, with news of Elon Musk’s intention to purchase the social media giant breaking back in mid-April. Shell and BP have also seen significant increases in popularity amid a global surge in gas and oil prices, with the number of eToro investors holding these stocks jumping 43% and 39% respectively. Romanian investors are also interested in energy companies (see table 3), with BP having an increase of 58% and Shell 40% increase in the number of holders.

Commenting on the findings, eToro’s Global Market Strategist Ben Laidler, said: “Investors have been nimble over the past three months, navigating the unprecedented volatility in global markets. They’ve repositioned for high-for-longer oil prices, the end of covid concerns, and not been afraid to take sides in one of the biggest takeovers of the quarter.

“They have clearly scoured the world for new investment opportunities, adding stocks from the US and UK to France and Germany whilst also diversifying into attractive energy, luxury, and consumer big caps as the economic storm clouds have gathered.” 

 

The list of most popular stocks among eToro investors (see Table 2 below) remains dominated by tech, despite the recent market sell-off, with Tesla, Amazon and Apple making up the top three, and Meta, Microsoft and Alphabet further down the list.

Romanian investors also seem to favour technology stocks (see table 4), with companies like Amazon and Microsoft moving up the top, while electric vehicle makers like Nio or Tesla and Romanian-born software automation company UiPath maintain the first three positions in the top ten most held stocks.

Laidler adds: “Investors have also taken the long view and held onto their ‘big tech’ favourites even as many have been battered in the stock markets this year. This may ultimately be rewarded as they are still growing strongly, with high profit margins, and have fortress balance sheets.”

 

 

Table 1: This table shows which stocks have seen the biggest proportional increase and decrease in holders on the eToro platform quarter on quarter globally

 

 

  Company Increase in holders QoQ as a percentage Company Decrease in holders QoQ as a percentage
1 Twitter 137% Merck & Co. -19%
2 ZIM Shipping Services Ltd 66% TAL Education Group ADR -12%
3 Hewlett Packard 53% Pinduoduo Inc -11%
4 Ubisoft Entertainment SA 49% Enphase Energy Inc. -8%
5 Shell PLC 43% United Airlines Holdings Inc -8%
6 Target Corp 43% Electronic Arts, Inc. -8%
7 Occidental Petroleum Corp 40% Delta Air Lines Inc (DE) -7%
8 BP 39% International Business Machines Corporation (IBM) -7%
9 SAP SE 38% Pfizer -6%
10 Farfetch 35% Alteryx Inc. -6%

 

 

 

Table 2: This table shows which stocks are most widely held on eToro globally and their position last quarter

Q2 2022  rank Most held stocks on eToro Q1 2022 rank
1 Tesla Motors, Inc. 1
2 Amazon.com Inc 3
3 Apple 4
4 Nio Inc. 2
5 Meta Platforms Inc 5
6 Alibaba 6
7 Microsoft 7
8 NVIDIA Corporation 8
9 Alphabet 9
10 PayPal Holdings 11

 

 

Table 3: This table shows which stocks have seen the biggest proportional increase and decrease in holders on the eToro platform quarter on quarter in Romania

 

Rank Biggest risers among eToro’s investors Biggest fallers among eToro’s investors
  Company Increase in holders QoQ as a percentage Company Decrease in holders QoQ as a percentage
1 Twitter 68% Merck & Co. -21%
2 BP 58% Alibaba Group Holding Ltd (Hong Kong) -7%
3 Citigroup 42% XPeng Inc ADR -7%
4 Shell PLC 40% Mastercard -7%
5 Alphabet Inc Class A 38% BioNTech SE -6%
6 Ubisoft Entertainment SA 37% Inpixon -6%
7 BlackRock Inc 36% Bumble Inc. -6%
8 Bank of America Corp 34% Zillow Group Inc -6%
9 Netflix, Inc. 33% Delta Air Lines Inc (DE) -6%
10 Arrival 31% CRISPR Therapeutics AG -6%

 

 

 

Table 4: This table shows which stocks are most widely held on eToro in Romania and their position last quarter

 

Q2 2022  rank Most held stocks on eToro in Romania Q1 2022 rank
1 Nio Inc. 1
2 Tesla Motors, Inc. 2
3 UiPath Inc. 3
4 Apple 4
5 Meta Platforms Inc 5
6 Amazon.com Inc 9
7 Palantir Technologies Inc. 6
8 Microsoft 10
9 GameStop Corp. 7
10 Alibaba 8

 

About the data

Data was taken from the eToro platform on Friday July 1st. The data used in this press release refers to activity in funded accounts of global eToro users.

The data in the first table shows the 20 stocks which have seen the biggest proportional increase and decrease in holders on the eToro platform quarter on quarter (Q1 vs Q2). The data in the second table shows the top 10 most held stocks positions (open positions) by global investors on the eToro platform at the end of the second quarter of 2022. As the vast majority of stocks traded on eToro are the real asset this data does not include positions held as CFDs. Data accurate as of 1st July 2022.

 

About eToro

 

eToro is a social investment network that empowers people to grow their knowledge and wealth as part of a global community of successful investors. eToro was founded in 2007 with the vision of opening up the global markets so that everyone can trade and invest in a simple and transparent way. Today, eToro is a global community of more than 27 million registered users who share their investment strategies; and anyone can follow the approaches of those who have been the most successful. Due to the simplicity of the platform users can easily buy, hold and sell assets, monitor their portfolio in real time, and transact whenever they want.

This communication is for information and education purposes only and should not be taken as investment advice, a personal recommendation, or an offer of, or solicitation to buy or sell, any financial instruments. This material has been prepared without taking into account any particular recipient’s investment objectives or financial situation, and has not been prepared in accordance with the legal and regulatory requirements to promote independent research. Any references to past or future performance of a financial instrument, index or a packaged investment product are not, and should not be taken as, a reliable indicator of future results. eToro makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication.

 

 

 

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