The MSE Equity Total Return Index bounced back from the previous week’s substantial loss, putting together a solid gain of 1.481 per cent, to close at 8,823.732 points – registering the first weekly gain in 2019.
The equity market was dominated by buying pressure as 10 of the 19 active equities registered price increases, while only four lost ground.
Investor participation was higher than the previous week, as the highest weekly turnover for 2019 thus far, of €2.2 million, was generated across a total of 196 transactions.
One of the main drivers of this positive performance was Malta International Airport plc, which logged various gains throughout the week, ultimately reaching a price of €6.20. This was the highest closing price for the equity in over seven weeks. A substantial turnover of €248,780 was generated across 20 deals.
Another catalyst for the increase in the MSE index was telecommunications company, GO plc. Last week, the equity set at a high, closing at a price of €4.20, which translates to a 2.94 per cent gain over the previous week. This was the outcome of 23 transactions, in which 57,677 shares changed ownership.
MaltaPost plc was also a positive influence on the index, as it partially recovered from the previous week’s slump, climbing 8.33 per cent to €1.30.
This appreciation however, was the result of three deals of 3,000 shares.
In the banking industry, Bank of Valletta plc was the only equity to record a price movement. The share price oscillated between a weekly low of €1.28 and a high of €1.32, ultimately closing at €1.29. This translates to a modest gain of 0.78 per cent. Unsurprisingly, the equity was the most liquid for the week, as 429,482 shares were exchanged over 43 transactions.
Its peer, HSBC Bank Malta plc kicked off the week slightly in negative territory, but eventually rebounded to close unchanged at €1.76. A total of 13 trades of a combined 131,477 shares were recorded.
Similarly, FIMBank plc traded flat, as eight trades of 63,123 shares were all executed at a price of €0.70.
International Hotel Investments plc registered mixed performances during the week, finally closing 1.69 per cent in positive territory, at a price of €0.60. Trading volume amounted to 80,269 shares across ten deals.
In the insurance sector, Mapfre Middlesea plc posted a substantial, albeit partial recovery of 6.56 per cent, over the previous week.
The equity closed at €1.95, as a result of three deals of 2,647 shares during mid-week.
In the same industry, a single transaction of 4,900 GlobalCapital plc shares pushed the share price upwards to €0.276, up 2.22 per cent over the previous week’s closing price.
RS2 Software plc ended the week strongly to reverse earlier declines, ultimately closing 0.72 per cent higher at €1.40. A total of 66,628 shares changed hands over 12 transactions.
Contrasting performances for retail conglomerate, PG plc, cancelled each other out, as the equity ultimately closed unchanged at €1.33, over a significant turnover of €237,348.
A total of six transactions of a combined 78,911 Medserv plc shares had no bearing on the previous week’s closing price of €1.06.
The property sector had a negative week
The best performer of the week was Loqus Holdings plc, as it soared 23.38 per cent to a seven-month high of €0.095, over a single deal of 17,000 shares. The company is set to hold its Annual General Meeting this Tuesday, January 29, 2019.
At the other end of the spectrum was property company, Trident Estates plc as it fell by 3.03 per cent to close at a price of €1.28. In total, 10 transactions of a combined 29,638 shares were registered.
The property sector had a negative week, as all four negative movers were in this industry. Malta Properties Company plc lost 1.89 per cent in value to €0.52, as 148,475 shares traded on 11 transactions.
MIDI plc was also a drag on the index, as it continued to trade in negative territory, drifting 1.52 per cent further to the €0.65 price level. Traded volume amounted to 57,350 shares across four trades.
Main Street Complex plc declined to its lowest traded price since being admitted to the Malta Stock Exchange, as six transactions of a combined 36,900 shares dragged the price 1.56 per cent lower to €0.63.
The sovereign debt market continued on the previous week’s positive trend, as 15 Malta Government Stocks traded higher, all of which have terms to maturity of longer than three years.
On the other hand, just four shorter-dated issues headed south. Activity in the market was higher than the previous week, as a turnover of €6.4 million was generated, compared to the previous figure of €5.3 million.
The best performers last week were the two longest-dated issues, as the 3% MGS 2040 (I) advanced 1.2 per cent to €119.92, while the 2.4% MGS 2041(I) continued on the previous week’s significant gain, rising another 1.07 per cent to €109.43.
On the other hand, the 3% MGS 2019 (III) edged 0.07 cents, to close at €102.10.
Following the previous week’s balanced performances in the corporate debt market, yields were lower last week, as gainers amounted to 20, while negative movers amounted to only half that number. A turnover of €3.4 million was generated last week, compared to the previous week’s €2.7 million.
On top of the list of gainers was the 5% GlobalCapital plc Unsecured € 2021, as it climbed 2.03 per cent to close at par.
At the other end of the spectrum, 6% Pendergardens Developments plc Secured € 2022 Series II fully surrendered the previous week’s gain, as it dropped 1.61 per cent to return to the €110 price level.
The most liquid issue was the 4.35% SD Finance plc Unsecured €2027 as a turnover of €401,265 was generated over 16 transactions. In spite of this activity however, the price closed unchanged at €105.
In the Prospects MTF market a total of seven issues were active last week, generating a combined turnover of €111,563. The most liquid issue was the 5.5% Testa Finance plc € Bonds 2029 as a turnover of €50,020 was generated over seven transactions.
This article which was compiled by Jesmond Mizzi Financial Advisors Limited, 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 is 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 Financial Advisors Limited at 67, Level 3, South Street, Valletta, or on 2122 4410, or email info@jesmondmizzi.com.