Bloomsbury and Greggs Share Price Slumps Create Buying Potential

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The FTSE 250 index of mid-cap UK companies has gained 6.2% in 2025, a respectable rise given persistent economic pressures at home and abroad. However, several constituents have endured steep declines, with some falling over 25% this year, presenting potential value opportunities for investors willing to take a long-term view. Bloomsbury Publishing (LSE: BMY), best known for its Harry Potter franchise, has seen its share price drop 27 % since the start of the year. The decline is largely attributed to weakness in its academic publishing division, affected by UK and US budget constraints and the continued shift from print to digital formats.

In the 12 months to February, academic organic sales fell 10%. While challenges remain, the company’s consumer division remains a major asset. The fantasy and science fiction catalogue continues to perform strongly, with more works from bestselling author Sarah J. Maas expected in the coming years.

Bloomsbury is also considering investing in artificial intelligence tools to support academic publishing. The stock currently trades on a forward price-to-earnings (P/E) ratio of 12.3, well below its five-year average of 17, suggesting scope for recovery.

Bakery chain Greggs (LSE: GRG) has endured a significant downturn, with its share price falling 43.4% in 2025. Recent trading updates have been weaker than expected, reflecting the ongoing cost-of-living squeeze on UK households.

Like-for-like sales growth slowed to 2.6% in the first half of the year, while operating profit declined by 7.1%, partly due to continued investment in expansion. Despite these challenges, Greggs’ current valuation, a forward P/E ratio of 12.1, compared with its 10-year average of 22–23, may appeal to investors seeking long-term growth potential in a well-known British brand.

While both companies face short-term pressures, their strong brand recognition and historically resilient business models could position them for recovery. For investors comfortable with potential volatility, these steep share price declines may offer attractive entry points.