MSE

Trading Report for week ending October 19, 2012

Index

positive run halted as financials decline

Following five

consecutive weeks of gains the Malta

Stock Exchange (MSE) Index failed to sustain its upward momentum by posting

a minimal loss of 0.2 per cent to close the week at 3,179.449. As opposed to

the previous week, financials emerged among the main draggers towards the

broader market with HSBC Bank Malta plc

and Middlesea Insurance plc

registering notable declines, followed by Lombard

Bank plc which moved towards the red zone following last week’s gains.

Conversely, Bank of Valletta plc

topped up to last week’s appreciation by adding further value, while Simonds Farsons Cisk plc touched new

highs for the year.  

Activity in the

week was based over 11 equities, in which losers prevailed over gainers as six

recorded losses, while five traded in positive territory. Turnover maintained

the same level when compared to last week as total trading value amount to just

over one million. A total of 960,784 shares were traded across 126

transactions.

Meanwhile, in the Government Stock Market, investors

opted in trimming some of their profits following the new stock issuance which

was announced on Friday morning by the Treasury. In fact, from the 22 active

stocks 15 declined, six gained ground, while one closed unchanged. The Treasury

announced the issuance of three stocks for a worth of EUR100 million with an

option of a further EUR40 million in case of an over allotment. The three

stocks are the 3.75% MGS 2017, 4.3% MGS 2022 and the 4.8% MGS 2028. The prices

of the stocks shall be established on Thursday 25, 2012, late in the afternoon.

In the Corporate Bonds market, yields were

mixed as from the 25 active issues, nine gained ground, 15 closed unchanged,

while the 6.8% Premier Capital 2017-2020

posted a minimal loss. Conversely the 5.6%

Global Capital plc 2014-2016 headed the list of gainers with a 3.6 per cent

gain.

In the equity market, investors gave a

cold shoulder to financials as from the four active shares; three closed the

week on a negative tone. In fact, HSBC

Bank Malta plc shaved-off 1.8 per cent from the 3.3 per cent appreciation

recorded in the previous week. The Bank’s equity was active throughout the week

as it swayed from negative to positive and back in the red to close the week at

EUR2.75. A total of 83,172 shares changed hands across 20 transactions.

Likewise, Middlesea Insurance plc gathered a 3.9 per cent decline over three

sessions to close the week at EUR0.75. With the incurred loss the Insurance Company

wiped-off all the gains registered last week, thus posting a 6.3 per cent loss

on a year to date basis.

The other negative financial for the

week was Lombard Bank plc which

trimmed 0.5 per cent from last week’s gains. The equity posted the said loss

over three sessions, in which it touched new lows of EUR1.80, but it managed to

partially recuperate most losses with a 3.9 per cent gain on Friday. A total of

53,894 shares changed ownership to close the week at EUR1.87.

On a positive note, Bank of Valletta plc managed to snap

back the 3.3 per cent loss incurred in the first week of October, as the

banking equity managed to gain a further 1.8 per cent, thus totalling to a 3.6

per cent appreciation over two consecutive weeks. The equity experienced a

relatively positive week as it clicked another notch higher in two sessions,

while it closed flat in the remaining three sessions to close at the EUR2.27

price level. The equity had the lion’s share as total trading value amounted to

EUR304,544. On Tuesday the company announced that the Board of Directors is

scheduled to meet on October 26, 2012 to approve the financial statements for

the year ended September 2012.

From the beverage sector, Simonds Farsons Cisk plc extended its

ascending position by registering a further 2.1 per cent gain. The equity was

active in two sessions as it posted the said gain on Thursday. In the following

session it closed unchanged to close the week at EUR2.40, thus locking a gain

of just below 40 per cent from its yearly lows of EUR1.72 recorded in the first

week of March.

Similarly, GO plc advanced by a further 1.1 per cent over two sessions to

close the week at EUR0.99. The telecommunications equity secured the said gains

over two sessions, thus posting just below 16 per cent over four successive

sessions.

The other positive performers for the

week were Malta International Airport

plc and Santumas Shareholdings plc.

The former rose by 0.86 per cent on Monday over 6,650 shares to close at the EUR1.75

price level, while the latter added a scant of 0.06 per cent over a single

trade of 1,690 shares to close at EUR1.701.

On the contrary, the worst performer

for the week was Plaza Centres plc

which plunged by 13.6 per cent on Wednesday over significant volumes of 602,550

shares.

Finally, both Maltapost plc and Malita

Investments plc ended the week lower, with the former shedding a minimal of

0.1 per cent in the last trading minutes of the week, while the latter declined

by just below two per cent over 1,000 shares to close the week at EUR0.50.  

  

This article which was compiled by Atlas

JMFS Investment Services Limited, does not intend to give investment advice and

the contents therein should not be construed as such. Atlas JMFS is licensed to

conduct investment services by the MFSA and is a Member Firm of the Malta Stock

Exchange. The directors or related parties, including the company, and their

clients are likely to have an interest in securities mentioned in this article.

For further information contact Atlas JMFS at 67, Level 3, South Street, Valletta,

or on Tel: 21224410, or email [email protected]