MSE

Trading Report for week ending April 29, 2011

MSE

Index gains after weeks of decline

The negative outlook which haunted the

local equity market during the past weeks came to an end, as the Malta Stock Exchange (MSE) closed

yesterday’s session at 3,346.04 points, hence up by 0.7 per cent on the week.

Since its last week on week gain, back in January 2011, the local Index

witnessed 12 weeks of losses, during which it lost over 14 per cent. However,

this week’s gain eased minimally such losses as the year-to-date decline now

stands at 11.5 per cent. Throughout the week turnover in the equity’s market

regained some steam with investors’ focusing their attention on GO plc shares while the two major

banking equities followed. Activity in the equity market was spread across nine

equities as over Eur626,000 was transacted across 154 deals of 409,263 shares.

Three equities led by Simonds Farsons

Cisk plc gained, five closed down while Bank of Valletta plc (BOV) shares closed flat.

In the fixed-income market turnover

reached just over Eur26m with a hefty Eur25.9m being traded in the local Government Stock market. The 7.8% MGS 2018 was the most liquid as

over Eur6.8m was dealt across three transactions. Yesterday the Treasury

announced that the local Government will be offering to the general public two

fixed rate stocks for an aggregate amount of Eur100m subject to an

over-allotment option of Eur50m in the event of over-subscription. A Floating

Rate issue maturing in 2013 linked to the 6 month Euribor will also be issued

for a total amount of Eur52m. Prices for the fixed-rate stocks will be

announced on Thursday, May 5, 2011.

In the Corporate Bonds market Eur322,625 was traded over 45 deals of

336,394 nominal. The 4.8% Bank of

Valletta plc 2020 was the most traded as over Eur81,000 were transacted

across four deals. The 7.15% Mediterranean

Investment Holdings plc Euro 2015 — 2017 was the week’s top performer with an

8 per cent gain.

Simonds

Farsons Cisk plc outperformed the market with a hefty

8.24 per cent or Eur0.14 gain. The equity built further gains following last

week’s positive financial results for the year ended January 31, 2011. Throughout

the week turnover in the equity reached Eur42,434 dealt across nine deals as

the equity’s price hovered between a weekly low of Eur1.79 and a high of Eur1.84,

the week’s closing price.

The other two gainers for the week

emerged from the financial sector with HSBC

Bank Malta plc topping the list. In fact the Bank gained just over 3 per

cent or Eur0.09 as it closed the week at Eur3. The equity closed four trading

days higher while trading lower mid-week with a minimal 0.34 per cent loss.

Turnover in the Banking equity was the second highest as nearly Eur133,000 was

recorded over 28 transactions.

GO

plc was the most traded equity for the week as 62

deals of 165,251 shares worth Eur227,218 were executed. The equity persisted

with its negative momentum as it shed a further 5.6 per cent to end the week at

Eur1.349. Since the beginning of the year GO shares are amongst the worst performers

with a hefty 30 per cent loss.

Meanwhile, Middlesea Insurance plc gained 1.2 per cent or Eur0.01 as the

insurance firm closed the week at Eur0.85 after having traded at a high of Eur0.89.

A total of 17,858 shares changed hands across five deals. Conversely, FIMBank plc shares which were only active

during Wednesday’s session traded lower at $0.87 as eight deals of 60,870

shares were recorded.

BOV

closed the week unchanged despite having traded at a

weekly high of Eur2.895 and a low of Eur2.85. A total of 35 transactions worth Eur121,213

were executed. On Friday, the Bank announced that the Board of Directors

approved the Group’s and the Bank’s Interim Unaudited Financial Statements for

the six months ended March 31, 2011. Profit before tax for the Group declined

slightly to Eur45.1m, down from Eur47.4m while earnings per share increased

minimally to Eur0.126. An interim dividend of Eur0.0406 net of tax, has been

declared by the Board of Directors in respect of the six months ended March 31,

2011. This will be paid on May 26, 2011 to those Members appearing on the

Bank’s Register of Members, as at close of business on Thursday, May 12, 2011.

In the IT Sector RS2 Software plc edged 2.08 per cent lower as the equity’s price

barely fluctuated having closed the week at Eur0.519. Turnover reached just

over Eur21,000 as 40,500 shares were dealt over three deals. The IT specialist

performance since the beginning of the year stands at over 8 per cent.

Malta

International Airport plc shares were also on the downside as

the equity lost a meagre 0.06 per cent to close the week at Eur1.699. A total

of 12,000 shares were traded over two deals.

Medserv

plc lost 4.8 per cent as it closed the week at Eur4

after having traded at a low of Eur3.98. Two deals of 2,400 shares were

executed.

Meanwhile MIDI plc announced that the Board of Directors met on April 28,

2011 and approved the audited consolidated financial statements and the

Preliminary Statement of Annual Results for the financial year ended December

31, 2010. Profit before tax for the Group declined to Eur1.51m, down from Eur1.75m

in 2009. The directors did not recommend the payment of a dividend.

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]