In April, the regional markets observed somewhat of a bounce back after all sectors observed a double digit decrease in March. To what extent have certain sectors recovered in April, find our in this brief article.
For this we decided to look at the average share price performance of companies in our wider coverage which includes companies from Croatia, Slovenia, Romania, Serbia and Bulgaria.
In April, of all observed sectors (13 of them) on average have observed a share price increase. Of those, 4 have observed a double-digit increase. Shipping companies recorded a sharp increase of 23.4% in April, after being the worst performing sector in March (-27.7%). Next comes Construction with an increase of 17.6%. Utility and Infrastructure follow with an increase of 12% each.
On the filp side, Tourism recorded a 2.8% increase in April, after witnessing a 20.7% decrease in March. The Tourism companies in our sample are currently traded at an median P/E of 7.1 and EV/EBITDA of 10. Food and Pharma come next with a 4% increase each. Not surprisingly, these were one of the least affected industries when observing the share price drops in March.
Performance of Regional Companies by Sector*
*Average share price performance of regional companies in our wider coverage
Trading statistics for April 2020 show an average daily turnover of EUR 1.5m (+78% YoY). Meanwhile, SBI TOP ended the month with an 9.4% increase.
The Ljubljana Stock Exchange (LJSE) published their trading statistics for April 2020, showing a somewhat normalization in equity turnover of EUR 30.1m. This translates into an average daily turnover of EUR 1.5m (+78% YoY). As a reminder, in March, LJSE witnessed a very high total equity turnover of EUR 65.4m (average daily turnover of EUR 2.97m).
Of the total value traded in the period (excluding block transactions), Krka generated 43.8%, followed by Petrol with 12.1%. Next come Triglav with 10.6% and NLB with 9.6%. Sava Re follows with 9.2%. These 5 shares generated 85.2% of the turnover recorded by the entire (equity) market.
When observing the total equity market capitalization, it currently amounts to EUR 6.13bn. Krka’s share is the biggest constituent of the total exchange’s equity market capitalization, accounting for about 41% of the total value. Next, comes NLB with 13%. Further, Triglav and Petrol hold 11% of the total market capitalization value.
In April, the Slovenian equity market witnessed a partial recovery, with SBI TOP increasing by 9.4% (ending the month at 801.85 points). It is also worth noting that in April, the index recorded the highest daily increase in 2020 of 6.11%. The last time that the index observed a higher monthly increase was observed in September of 2012, when the index witnessed a 17% increase. As a reminder, in March 2020 the index witnessed the highest monthly decrease since its introduction of 19.17%.
Share Price Performance of SBITOP Constituents (April 2020)
In April, the Belgrade Stock Exchange observed an average daily turnover of EUR 0.12m. Meanwhile, BELEX15 recorded an increase of 2.97%.
The Belgrade Stock Exchange reported a turnover of EUR 2.3m in April 2020 (when observing solely equity). This would translate to an average daily turnover of EUR 0.12m.
In April, the most traded share (excluding block transactions) was NIS with a turnover of EUR 0.78m. Next come two banks – Alta Banka with EUR 0.69m and Komercijalna Banka with EUR 0.5m.
Like most markets, after going through a very poor share price performance of most companies in March, certain companies on the Serbian capital market have observed a partial rebound. Of the BELEX15 constituents, Messer Tehnogas leads the list with an increase of 14.77%. Next come Impol Seval and Aerodrom Nikola Tesla with +14.2% and 13.1%, respectively. Komercijalna Banka follows with +8.75%. On the flip side, Energoprojekt holding and NIS recorded a decrease of 9.8% and 5.3%, respectively.
Turning our attention to BELEX15, the index observed an increase of 2.97% in April, ending at 655.41 points. As a reminder, the index observed a sharp drop in March of 20.34%.