MSE Index gains 0.4 per cent in February
MSE Trading Report for week ending March 03, 2017
Most equities with a large market capitalisation performed positively, to yield a 0.33 per cent gain in the MSE Index, as it closed at 4,763.682 points. The index registered a gain of 0.4 per cent in February as investors’ confidence in the equity market persists.
Trading in the equity market was spread across 17 equities of which eight headed north, five headed south and four closed unchanged as total turnover surpassed the €1.5m mark.
For the second consecutive week, banking industry shares registered gains. HSBC Bank Malta plc registered a fresh three year high as the equity rose by 2 per cent, to €2.09. Total turnover amounted to €480,000 over 44 trades.
Lombard Bank Malta plcshares reached a fresh 13 month high following three trades of a total of 9,480 shares. The price appreciated by 1.7 per cent, as it settled at the €2.39 price level.
Bank of Valletta plc shares were also in the black by 0.9 per cent. This performance was a result of 51 deals worth€269,000. The closing price at the end of the week read €2.21 – a fresh nine year high.
Albeit being active during the week, FIMBank plc’s equity closed unchanged at $0.90. This was also the case with Simonds Farsons Cisk plc, Plaza Centres plc and MIDI plc.
After two consecutive weeks of gains, GO plc shares depreciated by 0.6 per cent, to close at €3.53. Total turnover exceeded €150,000 over 26 deals.
International Hotel Investments plcis another large market cap equity which, not only failed to register gains, but also slumped considerably. The price per share declined by 3.1 per cent as it settled at the €0.63 price tag. Seven transactions were executed as a total of 18,515 shares changed hands. On the other hand, Loqus Holdings plc shares, gained 3 per cent over mere 4,100 shares. The price at the end of the final trading session of the week read €0.17.
Although experiencing minimal movements during the week, the respective prices of RS2 Software plc and Tigne Mall plc moved in opposite directions. The former gained 0.1 per cent, to close at €1.65, following seven transactions worth €32,000, while the latter lost by the same magnitude over four deals worth €26,000.
The company announcements issued by both Medserv plc and Malita Investments plc left no positive impact on the respective share prices. On Monday, Medserv plc announced that its Middle East subsidiary, Middle East Tubular Services LLC (“METS”) has been awarded a new long term contract with the Sumitomo Corporation entity, Sumitomo Corporation Tubular Supply Oman (SCTSO), for the supply chain management of Oil Country Tubular Goods (OCTG) to Petroleum Development Oman (PDO). The latter is a joint venture between the Government of Oman and Shell. The contract, the largest ever won by the Medserv group, was awarded on 26 February 2017 and is for an initial period of five years with a five-year extension option.
Furthermore, last Thursday, the board of directors announced that that is scheduled to meet on the April 5, 2017 to consider, and if thought fit, approve the Annual Financial Statements of the Company for the financial year ended December 31, 2016.
During the week, the equity featured in 24 different transactions worth €294.000 in total. The registered loss amounted to 2 per cent, as the price lowered to the €1.625 price level.
On Wednesday, the Board of Directors of Malita Investments p.l.c. approved the audited financial statements for the financial year ended December 31, 2016. The Company registered a pre-tax profit of €8.26m (2015: €16.86m), while revenue for the year amounted to €6.98m (2015: €6,94m).
The Board of Directors further resolved to recommend for the approval of the Annual General Meeting, due to be held on April 27, 2017 the payment of a final gross dividend of €0.0228 per share, equating to a final net dividend of €0.01482 per share to all shareholders on the register at close of business March 28, 2017. The final net dividend will be paid on May 5, 2017.
Apparently, this did not satisfy current shareholders as the price suffered a 4.9 per cent depreciation to settle at €0.77. The equity was active over five deals of 30,800 shares.
Malta International Airport plc shares experienced another positive week as the equity closed one per cent higher at €4.24. Total trading of €151,000 was registered across 20 transactions.
Both Santumas Shareholdings plc and Malta Properties Company plc registered very strong weekly gains. The former traded six times for a total of €28,500 as it gained 7.1 per cent, to close at €1.65 while the latter appreciated by 5.6 per cent over similar trading value.
The sovereign debt market followed on the positive trend witnessed in February while the corporate bond market recouped some of the losses registered during the same month.
In the corporate debt market a total of 29 issues were active of which gainers and non-movers tallied at nine while the remaining eleven declined. Total trading in corporate bond issues amounted to €1.67m. The 5.75% Central Business Centres plc Unsecured € 2021 S1T1 topped the list of gainers as it registered a 2.4 per cent increase, to close at €105.
On the other hand, a total of 26 issues were active on the sovereign debt market of which, 17 closed in the black, eight declined and one closed unchanged. The recently issued 2.2% MGS 2035 registered the highest gain of 1.3 per cent, as it closed at €101.54 when compared to the €100.25 issuance price.