Some of Russia’s biggest stocks are nearly worthless.
All thanks to its war with Ukraine, and heavy sanctions.
Look at Sberbank Russia (SBRCY), for example. At the end of 2021, it traded around $14 a share. It’s now down to about 61 cents. Lukoil (LUKOY) traded around $90 at the end of 2021. It’s now down to $9.54. Gazprom (OGZPY) fell from about $9 to $2.22.
“The collapse of the energy giants came even as Western sanctions specifically exempted the Russian energy sector. But traders have taken matters in their own hands, with very little demand for Russian-sourced oil,” as noted by MarketWatch.
However, don’t count these stocks out for long.
At some point, Russia should back off. At some point, peace should return. At some point, sanctions will be gone. And at some point, these stocks could soar back from penny stock status. Keep an eye on them all.