logo-loader
Plus500

Short-sellers get it right as Plus500 warns about trading

Plus500 was one of the most shorted shares on the London stock market ahead of the update

CFD
2019 trading has turned down

Short-sellers were rubbing their hands as CFD group Plus500 Limited (LON:PLUS) shed more than a third of its value on a warning results this year would be far below previous expectations.

PLUS500 was one of the most shorted shares on the London stock market ahead of the update.

Tighter European regulation on CFD trading had affected revenues more than expected said the Israeli group.

Combined with increased marketing to attract customers this had hit profits, which would be 'materially lower than current market expectations' as a result.

Plus500 also reduced its final dividend payout by 24% having boosted the interim by almost six-fold.

Profits for the year rose 90% to US$379mln but were boosted by an exceptionally strong first quarter when cryptocurrency trading was feverish.

Asaf Elimelech, chief executive said the business had seen a marked reduction in group revenue directly attributable to the new regulatory framework.

 

Quick facts: Plus500

Price: £7.06

Market: AIM
Market Cap: £799.37 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Full interview: Arcadia Biosciences makes major progress on its hemp venture...

Arcadia Biosciences Inc (NASDAQ:RKDA) CEO Raj Ketkar tells Proactive the California-based company expects to “significantly scale revenues in 2020” as it reported financial and business results for the second quarter and first half of 2019. Ketkar says the agricultural innovation company made...

2 days, 10 hours ago

RNS

Director/PDMR Dealing

1 hour, 2 minutes ago

Director/PDMR Dealing

4 days, 1 hour ago

Share Buyback Programme

6 days, 1 hour ago

Interim Results

6 days, 1 hour ago

Holding(s) in Company

2 weeks ago

Holding(s) in Company

2 weeks, 3 days ago

Holding(s) in Company

2 weeks, 4 days ago

2 min read