Turnover in the equity market recovers

The Malta Stock Exchange index edged minimally lower following a week during which the local index seemed to be heading for a positive close. However, losses during the opening and closing sessions were enough to push the index lower for the second week in succession. In fact, yesterday the MSE closed the day at 3,377.71 points, hence down by a mere 0.04 per cent on the week.

Turnover in the equities market increased significantly to €601,948 as 152 deals of almost 450,000 shares were executed. Through out the week all active banking equities closed lower with FimBank plc heading the list of fallers. Meanwhile Midi plc headed the list of gainers followed by International Hotel Investments plc. Out of the 13 active equities, five gained, six closed lower while another two finished the week unchanged.

Notwithstanding the increase in turnover in the equity market, turnover on the MSE over the week declined heavily to €6.2 million following a sharp drop in the Government Stocks market. In fact, trading in the Government Stocks market reached €5.3 million, down from €23.3 million traded last week. Meanwhile, in the Corporate Bonds market 55 transactions worth €338,437 were executed. The 4.8% Bank of Valletta 2020 was the most liquid as over €87,000 changed hands across 10 deals while the 7.15% MIH 2015 – 2017 was the best performer with a 6.7 per cent gain.

In the banking sector, FimBank plc shares lost almost six per cent or $0.05 as the equity closed the week at $0.80 after having traded at a high of $0.84. The equity plunged on Tuesday as over 116,000 shares were traded while another 9,000 shares were negotiated yesterday over one deal. The bank announced that the board of directors is scheduled to meet on Wednesday August 10, 2011 to consider and approve the consolidated financial statements for the half year ended June 30, 2011. During this meeting the board will also be considering the payment of an interim dividend.

HSBC Bank Malta plc shaved off 1.2 per cent or €0.035 to end the trading week at €2.95. Trading volume decreased to a mere 2,700 shares dealt over three deals which were spread over two trading sessions.

Meanwhile Bank of Valletta plc shares closed again in the red with a weekly loss of 0.36 per cent or €0.01. The equity kicked off the week with a staggering fall of four per cent or €0.11 while it managed to wipe off this entire decline in the three sessions which followed. However, yesterday the equity shed another one per cent or €0.03 to end the week at €2.74, having traded at a low of €2.64 and a high of €2.77. Over €236,000 were dealt over 78 transactions of 87,373 shares. Following this decline, the equity’s performance since the beginning of the year stands at 14.8 per cent.

Middlesea Insurance plc also closed in negative territory at €0.99 thus declining by 3.79 per cent or €0.039. However trading volume was rather week as 1,546 shares were dealt across two transactions. This week’s loss puts the equity’s year-to-date performance down by 2.46 per cent.

On the positive side Midi plc topped the list with a 4.5 per cent or €0.019 gain as 10 deals of 52,100 shares were executed. Throughout the week the equity’s price fluctuated between a low of €0.41 and a high of €0.439, the week’s closing price.

International Hotel Invest­ments plc shares posted a 3.75 per cent or €0.03 gain as the equity closed the week at €0.83. However, turnover was on the low-side as nearly €2,300 were dealt over three deals of 2,806 shares. Conversely, Island Hotels Group Holdings plc closed the week down with a hefty loss of just over five per cent or €0.045 as 400 shares were dealt across two deals.

On the contrary, Go plc edged minimally higher with a 0.66 per cent gain to finish the week at €1.379 after having traded at a low of €1.32. Throughout the week the telecoms company was the most liquid as 130,540 shares were dealt across 23 transactions.

Grand Harbour Marina plc shares recorded a similar gain as the equity closed at this week’s highest trading price of €1.98. A total of 20,000 shares were dealt across eight transactions in the final two trading sessions.

Malta International Airport plc also closed in the green as the airport operator recovered the loss recorded in the opening session. In fact, yesterday the equity gained 1.76 per cent after having shed 0.6 per cent on Monday to return a weekly gain of 1.17 per cent or €0.02. The board of directors is scheduled to meet on July 27 to consider and approve the company’s interim financial statements for the first six months of 2011.

On the contrary, Maltapost plc shed a significant 5.6 per cent or €0.06 during Tuesday’s session while it traded flat thereafter, ending the week at €1.02.

Meanwhile, RS2 Software plc shares traded flat at €0.499 over one deal of 1,000 shares while another deal of 140 shares in Simonds Farsons Cisk plc left the equity’s price intact at €1.75. The board of directors of SFC announced that the company’s AGM will be held on Thursday, June 23.

This article, which was co-mpiled 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: 2122 4410, or e-mail info@ atlasjmfs.com.