Russian drone attacks on logistics hubs like Wildberries are putting fresh pressure on Moscow’s supply chains and raising questions for investors holding stocks tied to this region. Disrupted routes, higher operating costs, and possible state support through banks such as VTB can all feed through to earnings quality and balance sheet strength. This article focuses on risk, not opportunity. It walks through 3 stocks from the Russian Market Headwinds Companies With Supply Chain Exposure screener that appear more exposed to these shockwaves, helping you decide whether their current risk profile still fits your portfolio.
Magnit (MISX:MGNT)
Overview: Magnit is one of Russia’s largest retailers, running a huge network of convenience stores, supermarkets, cosmetics outlets, pharmacies and other formats, supported by in house software, import and logistics capabilities. The group operates tens of thousands of stores and dozens of distribution centers across multiple Russian regions, making its business tightly linked to the country’s consumer and supply chain conditions.
Market Cap: RUB435.4b
Magnit offers rare scale in Russian food retail at what appears to be a deep discount to estimated fair value, yet the story remains complex. The company recently reported revenue of RUB3.5t for 2025 alongside a net loss of RUB30.9b, which raises questions about earnings quality and resilience if logistics costs rise further. High leverage, weak interest coverage and a dividend that is not well covered by earnings all add pressure. In the context of drone attacks on logistics hubs such as Wildberries, Magnit’s extensive supply chain footprint could turn from a strength into a vulnerability. The key question is whether the current valuation adequately reflects these funding and operational risks.
Magnit’s scale can mask how fragile its funding picture might be if logistics shocks keep piling up. Get the full story on its balance sheet pressure and dividend strain in the Magnit financial health report
VTB Bank (MISX:VTBR)
Overview: VTB Bank is a large state backed Russian bank that offers a full suite of corporate, investment and retail banking services, including lending, deposits, payments, trade finance, investment products and treasury services across Russia and selected international markets.
Market Cap: RUB244.0b
VTB Bank looks inexpensive on paper, with a low P/E ratio and high recent profit margins. However, the picture is far from comfortable for investors focused on supply chain risk. The bank is expected to shoulder financial support for Wildberries after drone attacks on key logistics hubs, which could weigh on its balance sheet and tighten the link between state policy goals and shareholder outcomes. Bad loans are already above a 2% comfort level and earnings are forecast to decline over the next few years, just as Russia’s economy shows signs of stalling. Combined with illiquid trading and an unstable dividend record, VTB’s apparent value story comes with layers of uncertainty that are easy to underestimate.
VTB Bank’s low P/E and high margins may be masking growing policy risk. Before assuming the value story holds, read the 4 key rewards and 5 important warning signs (2 are major!). It may change how you view the trade-off between state support and shareholder outcomes.
Gazprom (MISX:GAZP)
Overview: Gazprom is an integrated Russian energy company that explores for, produces, processes, stores, transports and sells natural gas, oil and gas condensates, while also running gas pipelines, underground storage, refining and power and heat generation assets across Russia and abroad.
Market Cap: RUB4,681.6b
Gazprom screens as very cheap on earnings with a high profit margin of 20.3%. However, the picture is far from comfortable when you factor in Russia’s growing economic strain and the shift in Ukrainian drone attacks toward core business and logistics targets. Recent results show flat to weaker sales alongside a sharp drop in Q1 2026 net income compared with a year earlier, which raises questions about how resilient those earnings really are if industrial demand and supply chains weaken further. Heavy reliance on external borrowing, an unstable dividend record and highly illiquid trading all add funding and exit risk for investors who get the timing wrong. The combination of low P/E and rising geopolitical pressure is one reason why Gazprom may warrant closer scrutiny before taking on that exposure.
Gazprom’s low P/E and recent profit pressure could be masking a deeper break in its earnings engine. Before leaning on the valuation, read the analysis report for Gazprom for the risk investors keep overlooking.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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