Trading statistics for November 2020 show an average daily turnover of EUR 1.5m. Meanwhile, SBI TOP ended the month with a 12% increase.
The Ljubljana Stock Exchange (LJSE) published their trading statistics for November 2020, showing a lower equity turnover compared to the previous month of EUR 31.45m. This translates into an average daily turnover of EUR 1.5m (-38% YoY). Such a decrease could mostly be attributed to a one-off block of KRKG shares traded in November of 2019 in the amount of EUR 23.2m. If were to exclude this effect, the average daily turnover would be up by 24%.
Of the total value traded in the period (excluding block transactions), Krka generated EUR 12.4m (or 44.6%), followed by NLB Group with EUR 5.53m (or 19.9%). Next come Petrol with EUR 2.87m (or 10.3%) and Sava Re with EUR 2.4m (or 8.6%). Triglav follows with EUR 1.56m or (5.6%). These 5 shares generated 88.9% of the turnover recorded by the entire (equity) market.
In November, the Slovenian equity market as represented by SBITOP observed its best month in 2020, increasing by as much as 12%. Such an increase occurred after witnessing a sharp decrease in the previous month of 6.22%. The positive sentiment regarding the development of the vaccine led to doble digit increases among many Slovenian blue chips, which in turn led to SBITOP (total return) ending back in green territory on a YTD basis. Meanwhile the index closed November at 888.8 points, representing a decrease of only 4% YTD.
As visible from the graph below, NLB Group observed the highest share price increase by as much as 34.9%. This marks the best monthly share price performance since the Group’s public offering in November of 2018. We note that despite such a sharp increase last month, the bank is still traded at one of the lowest multiples in the region (P/B of 0.5x).
Next come Krka and Cinkarna Celje with an increase of 14.8% and 12%, respectively. On a YTD basis Krka is up by 20.5% and is by far the best performer in 2020 in Slovenia. At the current share price (end of Nov) the company is traded at a EV/EBITDA of 5.2.
In November, all Slovenian blue chips published their 9M 2020 results, showing that SBITOP recorded a weighted aggregate bottom line decrease of 5%.
Share Price Performance of Slovenian Blue Chips (November 2020)
The Belgrade Stock Exchange reported a turnover of EUR 1.63m in November 2020 (when observing solely equity). This would translate to a low average daily turnover of EUR 81.4k.
In November, the most traded share (excluding block transactions) was Komercijalna Banka with a turnover of EUR 0.57m. Next came NIS with EUR 0.22m and Galenika Fitofarmacija with EUR 58.1k.
BELEX15 observed a moderate increase of 1.68% (ending the month at 713.57 points), representing the 7th time that the index ended the month in green in 2020. As of end November, BELEX15 is still down 10.99% YTD.
Of the index constituents Komercijalna Banka (pref.) observed the highest share price increase of 11.62%, closing at RSD 3,000 per share and converging to the acquisition price concluded with NLB Group this year. As a reminder, NLB acquired the 83.23% stake in Komercijalna Banka for EUR 387m, which puts the transaction multiple at P/B 0.77.
Next comes NIS, with an increase of 4.74%. Impol Seval and Galenika Fitofarmacija follow with an increase of 2.77% and 2%, respectively. On the flip side, Metalac leads the losers with -4.68%.
Of other Serbia related news, Serbia recently returned to the US dollar market after a seven-year long pause with a 1.2bn USD December 2030 note. The bond placement was preceded by a tender offer to buy back the 900mm USD of the outstanding note maturing in September 2021 at 105.70 (about 0.32% YTM). To read more about it click here.