Daily Market Highlights (07.03.2019)

  • Positive sentiment across the local equity market persisted further as the MSE Equity Price Index trended higher for the eighth consecutive trading session to its highest level in several months of 4,583.210 points. Today’s gain reflects increases in the share prices of IHI, GO and HSBC. On the other hand, another four shares drifted lower whilst a further four shares closed the day unchanged. Download a copy of today’s Equity Market Summary.
  • The RF MGS Index trended higher for the third consecutive day as it added a further 0.07% to its highest level in several months of 1,109.163 points. Bond yields in the euro area remained under pressure as the European Central Bank announced new lending facilities to commercial banks whilst also changed its forward guidance related to interest rate hikes so that interest rates are now expected “to remain at their present levels at least through the end of 2019”.
  • Today’s highlight was the publication by BMIT Technologies plc of the preliminary statement of financial results for the year ended 31 December 2018. These showed that the company continued to register strong growth in 2018, in line with the forecasts as provided in the IPO prospectus. The net profit figure exceeded forecasts by 6.3% on the back of a lower tax charge than previously anticipated. The equity finished the day 1% lower at the €0.515 level on activity totalling 48,700 shares.
  • Another important development today was the announcement made by MIDI plc in relation to the approval by the Board of the Planning Authority of the revised Masterplan for the development of Manoel Island. The company also reiterated its commitment to the project and expressed its readiness to move on to the next phase, including obtaining full development applications in order to commence the works during the second half of 2019. The equity eased by 0.8% to €0.645 on activity of 27,500 shares.
  • Simonds Farsons Cisk plc shed 2.9% back to the €8.50 level across 4,702 shares.
  • Bank of Valletta plc continued to trade within a tight range on light volumes as it slipped by 0.4% to the €1.265 level on 11,800 shares. BOV is expected to publish its 2018 full year results on 15 March.
  • GO plc extended its recent positive run as it climbed by a further 1.3% to a new multi-year high of €4.72 across 14,446 shares. Today, GO announced that during the Board of Directors’ meeting scheduled for tomorrow relating to the consideration and approval of the company’s financial statements for the year ended 31 December 2018 as well as the declaration of a final dividend, the Directors will also be considering the payment of an interim dividend for the 2019 financial year.
  • Similarly, International Hotel Investments plc gained a further 0.7% to a fresh over three year high of €0.74 across 142,710 shares.
  • HSBC Bank Malta plc rebounded by 3.1% to regain the €1.65 level albeit on trivial volumes. Shareholders as at 14 March will be entitled to a net dividend of €0.012 per share.
  • Within the same segment, Lombard Bank Malta plc retained the €2.50 level after recording a new multi-year high of €2.52. A total of 31,120 shares changed hands. Yesterday, Lombard reported a record set of financial results, largely reflecting a marked increase in lending activity as well as a substantial drop in expected credit losses. The Directors are recommending the payment of a final net dividend of €0.0325 per share. This represents an increase of 25% over the net dividend paid out for the 2017 financial year. Shareholders as at the close of trading on Friday 8 March will be eligible to receive the dividend on 17 April subject to shareholders’ approval at the upcoming Annual General Meeting scheduled to be held on 11 April.
  • Malta International Airport plc traded unchanged at the €6.50 level on volumes of 1,407 shares. MIA announced that during the month of February, passenger traffic grew by 2.9% compared to the level in February 2018. A total of 359,395 passenger movements were recorded in February 2019.
  • A single deal of 14,000 shares left the equity of PG plc at the €1.37 level whilst Mapfre Middlesea plc maintained the €2.00 level on insignificant volumes.