MSE

Trading Report for week ending October 29, 2010

MSE

Index up in anticipation of BOV results

The Malta Stock Exchange Index ended the week with a 1.01 per cent gain

to close at 3,374.267 points. A slight decline of 0.133% was only registered on

Thursday, while the highest gain was recorded on Monday as the index increased

0.382 per cent from the previous day. Trading activity across all markets rose

from 388 to 501 deals as trading in the Government Stocks was the most

influential to this increase. The number of gainers and losers tallied at four

in the equity market, while three other equities remained unchanged.

Turnover in the Government Stock market rose from EUR3.41m to EUR5.24m dealt over

266 trades. In the equity market, turnover continued to fall, as the

value traded reached EUR407,247 on 140 transactions, while in the Corporate Bond market turnover declined

to EUR397,804, almost half that registered last week. Three deals were executed

in the Treasury Bills market, for a

value of EUR7.82m.

Bank

of Valletta plc (BOV) was the best performer for the week

with an increase of 3.4 per cent or EUR0.11 to its share price. BOV shares in fact closed at this week’s

high of EUR3.35. A volume of just over 59,300 shares changed hands across 57 deals,

for a value of EUR195,621, the highest turnover of the traded equities. The

equity’s price gained ground on all trading sessions, except for Thursday when

it remained unchanged.

Shortly after close of yesterday’s

trading session, the Group announced that the Board of Directors approved the

audited financial statements for the financial year ended September 30, 2010. A

profit before tax of EUR98.9m was registered by the Group, a rise of 21 per

cent when compared to EUR81.8m reported over the same period last year. Earnings

per share rose from EUR0.245 to EUR0.317. The Directors also recommended the

payment of a net dividend of EUR0.104 per share, to be approved at the AGM, and

a bonus share issue of one share for every five shares held, which will be

allotted to shareholders on the Bank’s share register as at close of business

on January 12, 2011. The bonus issue will be funded by a capitalisation of

reserves amounting to EUR40m.

HSBC

Bank Malta plc returned to positive territory this week,

after three weeks of consecutive losses. The closing share price was EUR2.80, a

rise of 1.08 per cent, or EUR0.03. A total of 31 trades were registered consisting

of 39,448 shares. Gains of 0.9% and 0.18% were registered on Monday and

Wednesday respectively, while remaining unchanged in the other trading sessions.

FIMBank

plc was active only during Monday’s session closing at $0.93, a drop of 2.11 per

cent, as 15,550 shares changed hands over four deals.

The share price of Lombard Bank plc resulted in a 3.85 per

cent or EUR0.10 decrease following declines of 0.77 per cent on Monday and 3.1

per cent on Thursday. In fact, the equity ended the week at EUR2.50 making it

the worst performing equity as its share price slid over four trades as 4,600

shares were traded.

Malta

International Airport plc (MIA) shares continued

to consolidate the gains registered in the last two weeks, as its share price

climbed by a further 2.5 per cent this week. Activity was spread across 17

transactions of 15,642 shares ending the week at EUR1.64. After 10 months of

trading, the equity is now at a year-to-date gain of just over 36.6 per cent.

GO

plc, Middlesea

Insurance plc (MSI) and International

Hotel Investments plc (IHI) closed

the week flat at EUR1.87, EUR1.00 and EUR0.80 respectively. Both MSI and IHI shares

closed unchanged on two trading sessions, while GO plc shares lost 0.05 per

cent on Wednesday however recouped the loss yesterday. IHI was the most traded

of these equities, as 28,589 shares changed hands over seven deals.

On the downside, the share price of Island Hotels Group Holdings plc lost

3.16 per cent yesterday, or EUR0.031, closing the week at EUR0.949 on a single

trade of 1,000 shares.

Likewise, MaltaPost plc retreated from last week’s 2.2% gain ending the week

at EUR0.91, a decline of almost 1.1 per cent on a volume of 12,724 shares.

In contrast, Simonds Farsons Cisk plc recovered last week’s loss, with an

increase of 1.74 per cent, as it closed yesterday’s session at EUR1.75 backed

by a mere 333 shares on a single deal.

This week the

Treasury announced the issue of two fungible issues, the MGS 3.75% 2015 and the

MGS 5.25% 2030 which in the aggregate will total to EUR100 million.

Applications will open on November 8, 2010 and close on November 10, 2010. The

prices of these new issues will be announced on November 4, 2010.

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]