UK-based discount airline Easyjet PLC (LON: EZJ.L and US OTC: ESYJY) and cruise company Carnival PLC (LON: CCL.L and US NYSE: CUK) will drop from the FTSE 100 Index on June 19, according to a press release by FTSE Russell. This is a followup post to an earlier today where I discussed about Lufthansa getting kicked out of DAX Index.
After dropping from FTSE 100, Carnival will be added to the FTSE 350 Index.
The 5-year return of Easyjet and Carnival stocks trading on the US markets are shown in the chart below:
Click to enlarge
Source: Yahoo Finance
Despite a recent jump, both stocks are down significantly.
Airline and cruise sectors are high risk plays now as nobody knows when these industries will fully recover.
Disclosure: No Positions
