Acuity Stockbrokers Research | Sri Lanka Equities
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ACUITY STOCKBROKERS RESEARCH | SRI LANKA EQUITIES Weekly Market Review 19 Jun 2020 ASPI Hits 3-Month High… CBSL Introduces New Indices vs. Turnover (15th Jun – 19th Jun) Relief Measures… 5,250 ASPI 2,500 S&P SL20 ASPI ^ 1.54% | S&P SL20 ^ 4.94% 5,150 2,400 S&P SL20 S&P 5,050 2,300 ASPI 4,950 2,200 The Bourse ended the week… Cont. P2 4,850 2,100 4,750 2,000 Foreign investors closed the week... Cont. P3 15-Jun 16-Jun 17-Jun 18-Jun 19-Jun 2.50 2.00 Domestic equities rallied ….… Cont. P4 1.50 1.00 LKR Bn) LKR (Turnover 0.50 0.00 Economic Snapshot………… P5 15-Jun 16-Jun 17-Jun 18-Jun 19-Jun KEY STATISTICS Week ending 19-June 12-June +/- ASPI 4,990.42 4,914.83 1.54% S&P SL20 2,156.53 2,054.96 4.94% Banks 513.82 488.41 5.20% Capital Goods 664.09 654.69 1.44% Food, Beverage & Tobacco 722.51 725.27 -0.38% Consumer Durables & Apparel 729.40 724.20 0.72% Materials 553.45 541.23 2.26% Diversified Financials 740.07 734.84 0.71% Turnover (LKR Bn) 7.08 7.68 -7.89% Foreign Buying (LKR Mn) 704.66 1,157.49 -39.12% Foreign Selling (LKR Mn) 3,351.25 4,404.36 -23.91% Daily Average Turnover (LKR Bn) 1.42 1.54 -7.89% Daily Average Foreign Buying (LKR Mn) 140.93 231.50 -39.12% Daily Average Foreign Selling (LKR Mn) 670.25 880.87 -23.91% TOP 10 GAINERS TOP 10 LOSERS Opening Closing WoW % Opening Closing WoW % Company Code Company Code Price Price Change Price Price Change KELSEY KDL N 22.0 27.5 25.0% BLUE DIAMONDS[NV] BLUEX 0.3 0.2 -33.3% FIRST CAPITAL CFVFN 34.0 41.3 21.5% TESS AGRO TESSN 0.5 0.4 -20.0% MAHAWELI REACH MRH N 11.6 14.0 20.7% SAMSON INTERNAT. SIL N 87.9 72.9 -17.1% ORIENT FINANCE ORINN 8.6 10.2 18.6% BLUE DIAMONDS BLUEN 0.6 0.5 -16.7% YORK ARCADE YORKN 56.0 65.2 16.4% SINHAPUTHRA FIN SFL N 7.0 6.0 -14.3% LIGHTHOUSE HOTEL LHL N 25.5 29.5 15.7% NATION LANKA CSF N 0.7 0.6 -14.3% JANASHAKTHI INS. JINSN 24.0 27.6 15.0% CARGO BOAT CABON 40.0 36.6 -8.5% ANILANA HOTELS ALHPN 0.7 0.8 14.3% ASIA CAPITAL ACAPN 5.9 5.4 -8.5% BERUWALA RESORTS BERUN 0.7 0.8 14.3% EASTERN MERCHANT EMERN 3.7 3.4 -8.1% CEYLINCO INS.[NV] CINSX 769.8 879.3 14.2% PEOPLE'S MERCH PMB N 8.9 8.2 -7.9% 1 ACUITY STOCKBROKERS RESEARCH | SRI LANKA EQUITIES Weekly Market Review 19 Jun 2020 Market Review Indices | Liquidity (in Volume Terms) | The Bourse ended the week on a positive note as the The Banks Industry Group dominated the market in ASPI increased by 75.59 points (or 1.54%) to close at terms of share volume, accounting for 27.38% (or 4,990.42 points, while the S&P SL20 Index also 56.64Mn shares) of total volume, with a value increased by 101.57 points (or 4.94%) to close at contribution of LKR 3.61Bn. The Consumer Services 2,156.53 points. Industry Group followed suit, adding 22.76% to total turnover volume as 47.09Mn shares were exchanged. Turnover & Market Capitalization | The Industry Group’s volume accounted for LKR 0.20Bn Commercial Bank was the highest contributor to the of total market turnover value. The Diversified week’s turnover value, contributing LKR 1.43Bn or Financials Industry Group meanwhile, contributed 20.26% of total turnover value. LOLC Holdings followed 21.95Mn shares (or 10.61%), amounting to LKR 1.42Bn. suit, accounting for 18.45% of turnover (value of LKR 1.31Bn) while HNB[NV] contributed LKR 0.67Bn to Top Gainers & Losers | account for 9.54% of the week’s turnover. Total Kelsey Dev. was the week’s highest price gainer; turnover value amounted to LKR 7.08Bn (cf. last week’s increasing 25.0% W-o-W from LKR22.00 to LKR27.50 value of LKR 7.68), while daily average turnover value while First Capital (+21.5% W-o-W), Mahaweli Reach amounted to LKR 1.42Bn (-7.89% W-o-W) compared to (+20.7% W-o-W) and Orient Finance (+18.6% W-o-W) last week’s average of LKR 1.54Bn. Market capitalization were also amongst the top gainers. meanwhile, increased by 1.42% W-o-W (or LKR 32.54Mn) to LKR 2,330.36Bn cf. LKR 2,297.82Bn last Blue Diamonds [NV] was the week’s highest price loser; week. declining 33.3% W-o-W to close at LKR0.20. Tess Agro (-20.0% W-o-W), Samsung International (-17.1% Liquidity (in Value Terms) | W-o-W) and Blue Diamonds (-16.7% W-o-W) were also The Banks Industry Group was the highest contributor amongst the top losers over the week. to the week’s total turnover value, accounting for 50.95% (or LKR 3.61Bn) of market turnover. Industry TOP 10 TURNOVERS Group’s turnover was driven primarily by Commercial Bank,HNB,Sampath Bank & Nations Trust which Opening Closing Value Company Code accounted for 71.23% of the sector’s total turnover. The Price Price (Rs. Mn) Diversified Financials Industry Group meanwhile COMMERCIAL BANK COMBN 68.8 71.0 1,433.6 accounted for 20.10% (or LKR 1.42Bn) of the total L O L C HOLDINGS LOLCN 119.9 123.3 1,306.1 turnover value, with turnover driven primarily by LOLC HNB[NV] HNB X 75.3 81.9 674.9 Holdings which accounted for 91.84% of the sector HNB HNB N 99.9 108.5 632.1 SAMPATH SAMPN 109.3 119.2 396.1 turnover. The Capital Goods Industry Group was also JKH JKH N 114.9 117.0 359.7 amongst the top sectorial contributors, contributing HEMAS HOLDINGS HHL N 59.5 61.0 271.7 12.10% (or LKR 0.86Bn) to the total turnover, with CITRUS WASKADUWA CITWN 4.5 4.4 179.8 turnover driven primarily by JKH & Hemas Holdings CEYLON TOBACCO CTC N 950.1 970.0 169.2 NATIONS TRUST NTB N 60.5 62.0 106.8 accounting for 73.14% of the total turnover. 2 ACUITY STOCKBROKERS RESEARCH | SRI LANKA EQUITIES Weekly Market Review 19 Jun 2020 Market Review (Cont’d) Net Foreign Purchases (12 Jun-19 Jun) Net Foreign Sales (12 Jun-19 Jun) JKH VALLIBEL FINANCE Volume Change ('000s) Volume Change ('000s) SAMPATH PANASIAN POWER RENUKA FOODS[X] NATIONS TRUST SIERRA CABL DIALOG NAT. DEV. BANK ASIA SIYAKA BROWNS INVSTMNTS HEMAS HOLDINGS CARGILLS HNB SWISSTEK COMMERCIAL BANK RICHARD PIERIS L O L C HOLDINGS TEEJAY LANKA* HNB[X] 0 15 30 45 60 75 (7,500) (6,000) (4,500) (3,000) (1,500) - *Volume change of Teejay Lanka(0.24Mn shares) from 12th June – 19th June not displayed. Foreign investors closed the week in a net selling position, with the total net outflow amounting to LKR 2.65Bn relative to a net outflow of LKR 3.25Bn recorded last week. Total foreign purchases decreased to LKR 0.70Bn from a value of LKR 1.16Bn last week, while total foreign sales amounted to LKR 3.35Bn relative to LKR 4.40Bn recorded last week. In terms of volume, Teejay Lanka & Richard Pieris led foreign purchases while HNB[X] & LOLC Holdings led foreign sales. In terms of value, Cargills & Teejay Lanka led foreign purchases while LOLC Holdings & HNB[X] led foreign sales. Net Foreign Purchases (By Transaction Value) Net Foreign Sales (By Transaction Value) Foreign Holding (%) Value* Foreign Holding (%) Value* Company Net Change Company Net Change 19/06/20 12/06/20 (LKR. Mn) 19/06/20 12/06/20 (LKR. Mn) CARGILLS 7.49% 7.47% 50,040 9.12 L O L C HOLDINGS 0.50% 1.94% (6,871,409) (847.24) TEEJAY LANKA 47.36% 47.33% 240,258 7.09 HNB[X.0000] 36.06% 42.86% (6,909,817) (565.91) NAT. DEV. BANK 14.94% 14.93% 35,219 2.62 HNB 27.30% 28.32% (4,150,446) (450.32) SWISSTEK 2.49% 2.27% 61,000 2.21 COMMERCIAL BANK 18.72% 19.37% (6,204,502) (440.52) RICHARD PIERIS 74.32% 74.32% 67,580 0.66 HEMAS HOLDINGS 25.51% 26.15% (3,858,686) (235.38) HUNTERS 88.95% 88.93% 1,076 0.42 SAMPATH 16.02% 16.39% (1,395,023) (166.29) VALLIBEL FINANCE 3.98% 3.97% 5,042 0.29 JKH 45.23% 45.30% (862,271) (100.89) LANKA WALLTILE 0.56% 0.55% 4,790 0.24 NATIONS TRUST 22.08% 22.71% (1,552,928) (96.28) DIMO 1.02% 1.01% 800 0.21 ROYAL CERAMIC 4.44% 4.90% (514,552) (33.39) BROWNS INVSTMNTS 1.33% 1.33% 50,000 0.15 DIALOG 93.61% 93.64% (2,308,430) (25.85) Note: *Value based on closing price and not on actual traded price Please note that the foreign shares data displayed above include private transfers done outside of the market. Foreign Purchases Vs. Sales Week Ending Net Position of Foreign Holdings 1,250 Foreign Purchases 250 Foreign Sales 1,000 -550 750 -1,350 LKR.