Bank of Valletta dominate activity

MSE Trading Report for week ending March 12, 2010

Bank of Valletta dominate activity

The Malta Stock Exchange Index ended the week in negative territory for the second consecutive week having closed the last trading session of the week at 3,595.895 points, hence edging 0.21 per cent lower on the week. The value of trades dealt in the equity market increased to Eur0.95m with Bank of Valletta plc outpacing all other active equities, while trading volume declined throughout the week. Out of the 20 equities listed on the local exchange, only nine equities were active as four registered a gain, four lost some ground, while one equity closed unchanged.

The total amount of transactions on the local exchange increased to 352 as total turnover declined, for the first time in three weeks, to Eur20m. In the equity market, 204 deals were executed for a total value of Eur953,707 as 427,419 shares changed hands. In the Corporate Bonds market 72 transactions worth Eur413,600 were executed while in the Government Bonds Market over Eur18.5m was dealt across 69 transactions, down from Eur27m recorded last week. A light volume of 124,000 nominal was traded in Treasury Bills.

For the third week running, Bank of Valletta plc closed in the red having lost value during three trading sessions. Over the week, the equity traded at a high of Eur3.325, but recorded a hefty loss yesterday as the equity closed the session at Eur3.251, 1.78 per cent down on the week. Meanwhile, the Bank was heavily traded this week as 128,062 shares were traded across 69 transactions, with liquidity increasing in the last two trading days.

On the contrary, the negative sentiment which surrounded HSBC Bank Malta plc in the past two weeks waned slightly this week, although the gain registered is still rigid, as the equity gained 0.3 per cent closing at Eur3.30. Liquidity declined over the week as 28,690 shares were active across 28 deals. The equity was active over four sessions, during which the equity’s price fluctuated from a weekly low of Eur3.29 and a high of Eur3.38.

Meanwhile, Malta International Airport plc was this week’s best performer having closed 3.28 per cent up, as the equity registered a gain in the opening and closing session, after trading unchanged in the mid-week session to close the week at Eur3.15. Over 41,000 shares were traded across 21 deals with Monday’s session taking the lion’s share.

MaltaPost plc managed a 1.28 per cent gain as the equity was the week’s second most active, with a total of 108,980 shares changing hands over 24 deals. The postal operator traded at a weekly low of Eur0.779 and a high of Eur0.793, ending the week at Eur0.79.

On the other hand, GO plc ended another week in the red as the equity lost ground during two sessions while trading unchanged in the remaining three. This week’s loss amounts to 1 per cent or Eur0.023 having closed yesterday’s session at Eur2.267. A total of 49,000 shares were dealt as 32 transactions were executed.

International Hotel Investments plc closed the week unchanged having gained enough ground in the last two trading days to make up for the 4.38 per cent loss recorded on Tuesday. In fact the equity closed the week at Eur0.80 as trading volume increased to 40,400 shares on 14 transactions.

After a trading absence of nine sessions, Lombard Bank plc made its return to the trading platform this week during three trading sessions, closing the week 0.32 per cent up at Eur3.10. Trading volume amounted to 9,486 shares over 9 deals.

Middlesea Insurance plc edged minimally lower on the week having closed Friday’s session at Eur0.73 as 11,491 shares were active on five deals. Similarly, Medserv plc was active only during yesterday’s session as the equity shed 0.02 per cent on two deals of 9,700 shares, to close the week at Eur4.249.

Interest in Corporate Bonds continues to be apparent as BOV yesterday announced the Allotment policy in respect of its Eur70m 4.8% Subordinated Bonds 2020. Applications amounting to Eur27.7m from bondholders of the maturing 6.15% Bond were met in full while applications received from the general public which amounted to Eur68.7m received circa 74.39%. Applications are now also available for the two new bond issues announced last week namely, Premier Capital plc 6.8% 2017-2020 and IHI plc 6.25% 2017-2020.

This article, which was compiled by Jesmond Mizzi, Managing Director of Jesmond Mizzi Financial Services Limited (JMFS), does not intend to give investment advice and the contents therein should not be construed as such.  JMFS is licensed to conduct investment services by the MFSA. 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 JMFS at 67/3, South Street, Valletta or on Tel: 21224410 or email [email protected]