Down 47% and 29%! Listed here are the two worst-performing FTSE 100 dividend shares of 2025

The FTSE 100 has been in superb double-digit type this 12 months. In response to my knowledge supplier, 71 shares are up, and that determine can be barely extra if we included dividend funds.

Nevertheless, there are a pair of FTSE 100 shares which might be rooted to the underside of the efficiency desk. Right here, I’ll take a look at each to see if there appears to be like to be large turnaround potential in both of them.

WPP

Let’s begin with the blue chip index’s worst-performer: WPP (LSE:WPP). Shares of the struggling advert group are down 47.8% 12 months to this point, and at their lowest degree since 2009!

Buyers are involved that generative AI is within the technique of disrupting components of the promoting business. Platforms like Fb and TikTok are giving manufacturers highly effective instruments to create, run, and optimise campaigns, doubtlessly decreasing demand for companies.

Outgoing CEO Mark Reid has been trustworthy concerning the risk, admitting that AI is “completely disrupting” the business. This explains why the inventory is buying and selling on a ahead price-to-earnings (P/E) ratio of simply six, whereas providing a 9.2% dividend yield.

After all, inventive high quality nonetheless issues, and formulating model methods will probably at all times want people. Beginning in September, WPP has a brand new CEO within the form of Cindy Rose. She has expertise with senior management positions at Microsoft. Maybe she will flip the ship round.

Bunzl

The second-worst performing Footsie inventory is Bunzl (LSE: BNZL). It’s down 29.8% thus far this 12 months.

The corporate provides important non-food objects like packaging, security gear, and cleansing merchandise to companies throughout varied sectors. Till lately, Bunzl had a status for being a gentle compounder (usually the perfect investments). 

However in Q1, the agency’s North American enterprise, which accounts for over half of income, was weak. It suffered from pricing stress and a failed push into its own-brand merchandise. Consequently, margins weakened and administration now sees underlying income ending broadly flat for the 12 months.

The important thing danger right here is that the robust US macroeconomic backdrop may worsen. Additionally, a deliberate £200m share buyback was paused after solely £115m was spent.

I discover this disappointing as a result of the shares are at the moment buying and selling at 2016 ranges. In different phrases, this might be the proper time to be placing the foot on the buyback accelerator relatively than hitting the breaks. 

My choose right here

Given the extreme challenges and uncertainty dealing with WPP, I don’t suppose the inventory appears to be like notably engaging. It could be a falling knife, and people can hold heading within the incorrect path for a while.

In distinction, Bunzl seems to be struggling for progress attributable to a mushy market and macroeconomic uncertainty. I don’t suppose there’s essentially something incorrect with the enterprise.

Importantly, Bunzl’s CEO Frank van Zanten stays assured concerning the medium time period: “My confidence within the Group’s compounding progress technique and resilient enterprise mannequin stays unchanged…the Group continues to be very effectively positioned to navigate durations of macroeconomic uncertainty.”

After this 12 months’s sell-off, the valuation appears to be like low-cost, with a ahead P/E ratio of 13 and a 3.2% dividend yield. I feel Bunzl inventory is price contemplating for its turnaround potential.