Daily Market Highlights (06.04.2021)

GO climbs to 11-month high


The MSE Equity Price Index climbed by 0.70% to a 3-week high at 3,823.228 points as the gains in BOV, GO, IHI, MPC and Trident outweighed the declines in HSBC, Harvest, Malita and RS2. Meanwhile, four other equities closed unchanged as overall trading activity improved to €0.19 million. Download today’s Equity Market Summary.

Bank of Valletta plc closed 1.1% higher at the €0.88 level across 46,580 shares after failing to hold onto an intraday high of €0.93 (+6.9%).

A single trade of 2,721 shares lifted the equity of Malta Properties Company plc 3.8% higher to the €0.54 level. The Board of Directors of MPC is recommending the payment of a net dividend of €0.012 per share. Shareholders as at close of trading on 14 June 2021 will be entitled to receive this dividend on 21 July 2021 subject to shareholders’ approval during the upcoming Annual General Meeting scheduled to be held remotely on 15 July 2021.

GO plc climbed by a further 0.5% to the €3.66 level across 4,098 shares – its highest closing price since 13 May 2020.

Elsewhere, International Hotel Investments plc rebounded by 8.6% to regain the €0.57 level albeit across a single trade of 2,000 shares.

Trident Estates plc rose by 3.4% as it recaptured the €1.50 level across 6,930 shares.

On the other hand, Malita Investments plc shed 3.9% to an 11-month low of €0.86 as 6,000 shares changed hands. Malita’s Directors are recommending the payment of a final net dividend of €0.0142 per share to all shareholders as at the close of trading on 7 April 2021. The final dividend will be paid on 18 May 2021 subject to shareholders’ approval at the upcoming Annual General Meeting scheduled to be held on 11 May 2021.

In the technology sector, Harvest Technology plc slid 2% to the €1.45 level as 2,375 shares changed hands.

Similarly, RS2 Software plc fell by 2.2% as it moved back to the €1.76 level across 17,500 shares. Yesterday, RS2 announced that it concluded a major processing outsourcing agreement with one of the largest European fintech companies which will enable them to provide acquiring services in Latin America. The agreement is for an initial term of 3 years with the option to extend yearly. Moreover, RS2 also signed a processing agreement in Iceland with Landesbankinn to provide omni-channel acquiring services to the bank. RS2 added that the projected revenue from the above clients is reflected in the projections as provided in the Prospectus dated 19 February 2021 relating to the issuance of new preference shares – the issue has been extended to 16 April.

Meanwhile, BMIT Technologies plc closed unchanged at the €0.53 level across 47,190 shares. Shareholders as at close of trading on 22 April will be entitled to receive a final net dividend of €0.02922 per share.

Among the large equities by market cap, Malta International Airport plc held onto the €6.10 level across 5,746 shares whilst HSBC Bank Malta plc eased by 1.2% to the €0.80 across 6,900 shares.

Simonds Farsons Cisk plc retained the €8.10 level on volumes of 1,224 shares whilst MaltaPost plc traded flat at the €1.18 across trivial volumes.

The RF MGS Index rose by a further 0.07% to 1,117.531 points as the 10-year euro sovereign bond yields surged higher today on growing investor confidence. Expectations of a global economic recovery is being buoyed by accelerating COVID-19 vaccination programs and the USD2 trillion infrastructure plans in the US. Meanwhile, from a data perspective, the Eurozone’s seasonally adjusted unemployment rate stood at 8.3% in February 2021, above market expectations of 8.1% and up from 7.3% a year earlier. The number of unemployed increased by 48,000 from the previous month to 13.57 million. Amongst the largest Eurozone economies, the highest jobless rates were recorded in Spain (16.1%), Italy (10.2%) and France (8.0%), while the lowest rates were recorded in the Netherlands (3.6%) and Germany (4.5%).