Today's Highlights

Today's Highlights

World Indices

Symbol Name Last trade Last date Daily change, % Archive
^DJI Dow Jones 22 369.11 2017-09-29 -0.05 Archive
^BVSP BRAZIL BOVESPA 76 309.41 2017-10-17 -1.02 Archive
^IXIC Nasdaq 6 616.43 2017-10-17 -0.07 Archive
RTS.RS RTSI 925.32 2016-06-30 +1.20 Archive
^HSI Hang Seng 28 683.79 2017-10-17 -0.17 Archive
^N225 Nikkei 21 244.86 2017-10-17 -0.24 Archive
^GDAXI Daxx 13 005.48 2017-10-17 -0.09 Archive
^FTSE FTSE 7 530.23 2017-10-17 -0.17 Archive
^FCHI CAC 40 5 359.81 2017-10-17 +0.01 Archive
PFTS PFTS 293.56 2017-10-29 +0.27 Archive
UX Index UX Index 1 215.75 2017-10-17 -0.25 Archive

Weekly comment
(31.07.2017 - 06.08.2017)

Main events:

• Ukrainian stock indices have grown
• External news background was mostly neutral

Ukrainian stock indices were demonstrating the ascending movement during the previous week. Index of Ukrainian stock exchange closed with the growth by 3,75% to the level of 1121,9 points. Weekly volume of trading of shares grew by 59% and made up UAH 7,60 million.
Shares of “Raiffaisen Bank Aval” [BAVL] – UAH 2,664 million, “Ukrnafta” [UNAF] – UAH 1,94 million and “Tsentrenergo” [CEEN] – UAH 1,58 million became the most liquid securities at Ukrainian stock exchange.

In the general background, securities of “Donbasenergo” [DOEN] (growth by 11,9%), “Tsentrenergo” (growth by 7,0%) and “Raiffaisen bank Aval” (growth by 2,9%) looked better than the otehrs.

Securities of “Motor Sich” [MSICH] (growth by 1,1%) and “Ukrnafta” (growth by 1,2%) looked worse than the market.

External news background was mostly positive. Multidirectional movement was observed at the most of the world stock platforms. The situation around the nuclear and missile program of North Korea remained stressed (the country has launched the next ballistic missile). The situation around Qatar has worsened. USA implemented sanctions against Russia. The comments of the members of FRS and directors of FRB show the high probability of retention of the current level of FRS rate till the end of 2017.  

In environment with a scanty free float and a limited number of participants, the trading almost on all securities have a technical character and are defined by speculative moods of participants – lateral movement satisfies everyone. 

Considerable growth of shares of “Donbasenergo” is probably connected with the price correction of these securities after several weeks of decrease.
News about preparation of privatization of the package of shares of the state-owned enterprise supported the shares of “Tsentrenergo”.

Weak growth of cost of of shares “Motor Sich” is quite surprising, taking into consideration the fact that the company has published an excellent financials for 6M2017. Net profit grew by 78,3% compared to the same period of 2016 and made up UAH 2,288 bn. Thus, the 6M profit per share reached UAH 1100. The forecasted P/E’17 (according to our estimation) makes up 1,06.
We presume that index of Ukrainian stock exchange will remain at the level higher than 1100p. in the near future. The closest level of support will be 1080p. and 1020p. (if index consolidates at the higher level). After reaching this level index will drop to 1020p. Growth of index is limited by the zone of 1160-1180p. from above.

Forecast and recommendations

Speculative character of deals in environment with a permanent low liquidity will continue to further the volatility of trading. Probably, index UX has moved to a new scope – 1080-1180p. Later it will continue to vary within this wide range. This zone satisfies all participants. Index will close the week within the scope of 1100p.-1140p.