Stocks listed on the Ukrainian Exchange were mixed last week. On the downside, Raiffeisen Bank Aval (BAVL) lost 6.5% to 43.00 kopecks after the bank’s 1Q earnings results were somewhat lower than expected. The bank posted a net profit of UAH 1.09bn for the period, implying EPS of 1.77 kopecks. We estimate the bank’s forward P/E at 7.6x and P/B at 2.2x. DonbasEnergo (DOEN) corrected by 6.4% to UAH 25.00. Earlier the company announced a 37 kopeck per share dividend, which will be paid to shareholders in the register as of May 27. The actual dividend payment will be made sometime between late June and October. UkrNafta (UNAF) remained in a highly volatile trading mode, advancing by 9.2% to UAH 262. Quotes for CentrEnergo (CEEN) were flat at UAH 9.10.
In major economic news, UkrStat said that Ukraine’s GDP contracted by 2.0% YoY in 1Q21, which means that it will be hard to achieve the targeted GDP growth of 4% for the full year, even assuming a solid recovery for both 2Q and 3Q.
In London-listed stocks, MHP (MHPC) continued to trade at multi-year low of USD 4.82 ahead of the company’s 1Q earnings release due on 19 May. Ferrexpo (FXPO) declined by a moderate 1.0% to GBp 474 after its impressive sustained rally on the back of ballooning prices for iron ore. Enwell Energy (formerly Regal) rose 4.9% to GBp 19.10. The ENW stock has traded in a wide range of GBp 12.40-28.50 in the past 52 weeks.
On the Warsaw Stock Exchange, Agroton (AGT) shed 2.5% to PLN 6.20 while Kernel (KER) picked up 1.5% to PLN 53.80.
On the currency market, the hryvnia gained 0.8% to 27.55 UAH/USD on expectations of higher export proceeds for the country after a forecast for the 2021 grain harvest topped 73mn tonnes, which would be close to the all-time record of 75mn tonnes seen in 2019.
POLITICS AND ECONOMICS
- Health Minister Stepanov Likely to be Sacked Amid COVID Struggles
- Ukrainian GDP Slow to Rebound from COVID, Drops 2.0% YoY in 1Q21
STOCKS IN THE NEWS
- Raiffeisen Aval Increases Profit by 5% YoY to USD 39mn in 1Q21 (1.77 Kopecks per Share)
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