The Malta Stock Exchange (MSE) index ended the first week of May up by 0.48 per cent to close at 4,568.514 points, and now registering a three per cent gain year-to-date. The MSE performance was lifted by the gains in the shares of 6pm Holdings plc, Bank of Valletta plc (BOV), HSBC Bank Malta plc and Malta International Airport plc (MIA) shares. Meanwhile, the share price of International Hotel Investments plc (IHI) and most of the traded property equities headed in the opposite direction.
Total trading value increased by 30.8 per cent over the previous week to €1.4 million, spread across 19 equities, of which 11 advanced, six closed in the red and two stood unchanged.
In the financial services sector, positive interim financial results issued the previous week by BOV lifted market sentiment, having appreciated by 0.9 per cent on the week to close at €2.27, recording the second highest turnover worth €358k. The equity touched a four-week high of €2.28 intra-week.
Moreover, HSBC shares advanced for the third consecutive week, locking a 1.9 per cent gain to close at a four-week high of €1.65, active in four deals of 9,729 shares.
Among local banking equities, Lombard Bank Malta plc shares ended the week 0.2 per cent lower at €2.13, having failed to post a weekly gain for the past four weeks. The equity was traded in six deals of 9,327 shares.
Meanwhile, Fimbank plc’s share price continued on its upward trend, closing the week 1.3 per cent higher at a two-year high of $0.775, following nine deals of 75,072 shares.
In the same line of business, Mapfre Middlesea plc shares traded higher for the first time in nine weeks, notching a weekly gain of 2.3 per cent. The equity partially recovered from its previous week’s 4.4 per cent fall, as it closed the week at €2.25 per share, as 1,500 shares changed hands in three deals.
Elsewhere, MIA ticked half a per cent higher to €4.37, reflecting the positive traffic results for April announced during the week.
The company recorded a 5.7 per cent increase in passengers compared to April 2015, mainly as a result of the launch of the airport’s summer schedule which features new routes, airlines and an increased flight frequency. The UK, Italy, Germany and France remain the top destinations, followed by Poland, which has recorded a 27.3 per cent growth over 2015. During its annual general meeting (AGM) last Wednesday, all the resolutions were approved, including the payment of a final gross dividend of €0.1538463 per share (net €0.10).
On the other hand, the performance of IHI shares weighed down on the MSE performance, as the equity more than offset its previous week’s 3.2 per cent gain, having suffered a 4.6 per cent drop in share value, down to €0.62, as 23 deals of 117,660 shares were struck.
In the IT services sector, 6pm plc shares continued to surge 4.7 per cent higher, to close the week at its all-time high of £1.00. 4,600 shares were traded in four deals. The equity has rallied by 42.9 per cent year-to-date.
In the same line of business, RS2 Software plc erased its previous week’s 0.1 per cent loss as its share price closed the week at €3.798, after the week’s highest turnover of €491,000.
Among the list of gainers, Simonds Farsons Cisk plc registering a six-week winning streak when its shares gained 2.9 per cent to closing at €6.30 on a low volume of 1,383 shares. The company announced that its 69th AGM will be held on June 28.
GO plc shares closed the week 0.6 per cent higher at €3.50 – a level last seen in October 2015 – as 17 deals of 49,140 shares were executed. The equity traded at a high of €3.60 and a low of €3.45.
A single deal of a scant 1,095 shares in Santumas Shareholdings plc lifted its share price 1.3 per cent higher to €2.38.
In the property sector, Plaza Centres plc was the week’s only gainer, having surged by 3.9 per cent to €1.08, over three deals of 1,689 shares.
This followed the company’s announcement last Thursday that it has entered into a preliminary agreement to acquire 3,288 square metres of commercial real estate in Sliema, including a 100-space car park. The agreement is subject to a number of conditions that need to be satisfied before closing the deal.
Meanwhile, Malita Investments plc’s share price dipped to a 14-month low of €0.861 intra-week to then recover slightly by Friday’s trading session, closing at €0.899 – down 2.3 per cent on the week, as six deals of 27,500 shares were concluded.
Moreover, Malta Properties Company plc extended its previous week’s 2.1 per cent decline by a further 1.4 per cent, to close at €0.56, on nine deals of 30,350 shares, while Tigné Mall plc shares eased by 0.1 per cent to €1.149 after 14,300 shares were traded in three deals.
The share price of Medserv plc retreated by 0.4 per cent on the week to €1.784, as seven deals of 42,614 shares were negotiated.
There was no movement in the share value of Maltapost plc and Global Capital plc, which traded at €1.98 and €0.40 respectively.
Last Monday, Global Capital plc announced its annual financial results for the period ended December 31, 2015.
The group reported a pre-tax profit of €5.6 million, compared to €811,000 in 2014. The group’s results include net fair value gains on its financial and property investment portfolios amounting to €7.2 million which were partially compensated by an increase in technical reserves. Earnings per share stood at €0.312 cents.
In the corporate bond market, total turnover rose from €743,000 to €866,000, as 30 issues were traded, of which 13 gained ground, 11 fell out of favour and six remained unchanged.
The week’s best performance as recorded by the 5.75 per cent Central Business Centres plc Unsecured € 2021 S1T1 issue, which traded 3.4 per cent higher at €106, while the 5.6 per cent Global Capital plc € 2014/16 issue retreated by four per cent to €96 on five deals of 26,500 nominal.
In the sovereign debt market, total turnover stood at €4.3 million, of which 24 per cent was traded in the 2.5 per cent MGS 2036 (I) r issue, having inched 0.7 per cent lower at €105.25. Meanwhile, 18 deals of 262,300 nominal in the 5.25 per cent MGS 2030 (I) pushed its value up by 0.3 per cent to €144.32. In total, 22 issues were active as 11 declined, nine gained in value and two issues closed flat.
This article, which was compiled by Jesmond Mizzi, managing director of Jesmond Mizzi Financial Advisors Ltd, does not intend to give investment advice and the contents therein should not be construed as such. The company is licensed to conduct investment services by the MFSA and a member of the Malta Stock Exchange and a member of the Atlas Group. 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 Jesmond Mizzi at 1/2, St Joseph High Street, Ħamrun, or on Tel. 2122 4410 or e-mail jesmond.mizzi@jesmondmizzi.com.