Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for March 11, 2010

/IRBIS, March 11, 2010/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for March 11, 2010. Analysts of JSC "BCC Invest" waiting on the Kazakhstan stock market a moderately positive trend in trading this morning against the backdrop of yesterday's stock price growth and ENRC PLC Kazakhmys PLC and depository receipts of Kazkommertsbank and National Bank. In the afternoon on the course of trading will affect the opening of European sites. Projected JSC "BCC Invest" will look worse than the market shares of KMG Exploration&Production on the background of negative news background. JSC BCC Invest also noted the following important events in the Kazakh market: - March 10, 2010 in the trade system of KASE held specialized trades on placement of government treasury bonds of the Ministry of Finance of the Republic of Kazakhstan MEUKAM-108,4 release. The volume of placement amounted to KZT12 billion, which amounted to 100% of the plan, the coupon rate - 6.5%. - March 10, 2010 at the official website of the Kazakhstan Stock Exchange was published consolidated Bank CenterCredit, which reflected the outcome of 2009. As noted by analysts of JSC "BCC Invest", in general, the results were slightly worse than their projections, mainly due to lower values of net profit, which may have a negative spectacular fair value of the simple actions of the bank. Unexpected expenditure part of the bank amounted to a tax on profits, which was 75% more than our projections, which was the result of high costs, not related to deductions and payments of deferred tax liabilities. These interest earnings net interest and operating income were not much different from the predictions of JSC "BCC Invest" and reflected the efficiency of commercial activities of the company. The size of the loan portfolio was slightly more than expectations JSC "BCC Invest", due to lower write-downs for impairment losses that resulted from better asset quality. The total amount of assets and liabilities was on the level of expectations JSC "BCC Invest". Current recommendations JSC "BCC Invest" on common shares of the bank is located at the level of "buy", but the discrepancy with the expectations of JSC "BCC Invest" has led to what analysts have placed its recommendation and target price of common shares of the Bank for review and will shortly publish a new survey by the issuer in the light of new data. - March 10, 2010 JSC Exploration Production KazMunaiGas issued a press release about the developments in the manufacturing branch of KMG EP "Ozenmunaygaz", stating that at this branch of manufacturing in the city Zhanaozen (Mangistau region) continues to protest workers' branch start at March 1. Analysts of JSC "BCC Invest" indicated that the situation in Ozenmunaygaz continues to negatively affect the dynamics of stock price and depository receipts of KMG EP, which currently looks worse than the market. At present, analysts JSC "BCC Invest" retain recommendation on ordinary shares and depositary receipts of KMG EP at "hold" with target prices, respectively, KZT20,300 per share and $ 23.30 per GDR. However, if the management company can not positively resolve the situation "Ozenmunaygaz" in the near future, JSC "BCC Invest "will make adjustments to their model estimates of equity securities of KMG EP and modify its recommendations and price targets. Analysts of JSC "BCC Invest" are also waiting for the next events in the international markets: - on Russian markets only macroeconomic events on Thursday will yield data on the state of foreign reserves in U.S. dollars at the end of last week, which may influence the course of trading on the currency market. Mixed Trading Dynamics in Asia today indicates the uncertainty of the market at the moment, but analysts JSC "BCC Invest" expect, at the opening of the morning trading session in Russia will dominate sales, because the RTS and MICEX yesterday, according to JSC "BCC Invest", put starting point for a downward correction, and negative dynamics of futures for U.S. indices can provide additional pressure on the market. - European markets will be published monthly report of the European Central Bank as the monetary policy at the moment that will be the main economic event on Thursday in Europe. In addition, released statistics on the number of jobs in non-agricultural area in France in the fourth quarter of last year and the balance of the central government in the same country in January, which may also influence the bidding process. - on the U.S. markets on Thursday, the focus will be on the data as the U.S. trade balance in January, which may affect the currency market, and the number of initial applications for unemployment benefits on Thursday that will begin to make predictions as the labor market in March. In addition to all this will be an auction initial public offering 30- year Treasury bonds. Analysts of BCC Invest JSC are giving the following advice for investors in securities of issuers in internal market: ---------------------------------------------------------------------- Issuer Last price Target Predicted price, code price % Recom- mendation ----------------- ------- ---------- ------ ---------------- --------- Kazkommertsbank KKGB 621.50 695 +11.75 Hold KKGBp 246 347 +41.18 Hold Halyk Bank HSBK 388 335 -13.79 Hold Bank CenterCredit CCBN 719 947 +31.71 Buy Tsesnabank TSBN 980 737 -24.80 cut KazMunaiGaz RDGZ 21,005 20,300 -3.36 Hold Kazakhmys PLC GB_KZMS 3,300 3,528 +6.91 Hold ENRC PLC GB_ENRC 2,420 2,709 +11.94 Buy Kazakhtelekom KZTK 17,016 17,800 +4.61 Hold KZTKp 8,010 10,300 +28.59 Buy ---------------------------------------------------------------------- The given material has exclusively information character and is not the offer or recommendation to make any transactions with the stocks. Agency Irbis doesn't take responsibility for the opinions which are in given material. [2010-03-11]