Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for February 7, 2011
07.02.11 18:55
/IRBIS. February 7, 2011/ - BCC Invest JSC has provided IRBIS with a
survey of main events, market reviews and investment ideas for February
7, 2011.
Analysts of JSC "BCC Invest" now expect a positive opening of trading and
continued growth against growth of quotations of depositary receipts on
Friday in London.
JSC "BCC Invest" also noted the following important events in the
Kazakh market:
- Government will prepare a draft revised budget for 2011 until the end of
February this year, said Mr. Karim Masimov Kazakh Prime Minister.
"Perhaps, given the employment program, on encouraging the
construction, rehabilitation of enterprises under the program" Business
Road Map, "this month, we group together all these matters and turn to
the deputies about the possibility of clarifying the budget (for 2011 - IF-
K") "- he said, speaking at the Ministry of Economic Development and
Trade on Friday in Astana. "The macroeconomic situation allows (to
adjust the national budget - IF-K"), budget revenues increased by
stabilizing the economy and the challenges that the president has put
before us, we will begin to carry out their right now in 2011, and possibly
unload Budget in 2012 due to withdrawal of its costs this year, "- said the
prime minister. As reported, revenues and expenditures of the republican
budget for 2011 is planned in the amount of 4 trillion 041 billion KZT and
4 trillion 643.8 billion KZT, respectively. Current rate - 146.75/$ 1. The
national budget deficit for 2011 is planned in the amount of 602.5 billion
KZT (2.8% of the GDP).
- Chief Executive Officer of ENRC PLC goes down. According to a press
release, the company announced the decision of Chief Executive Officer
Mr. Felix Vulis voluntary resignation for personal reasons. Mr. Felix Vulis
intends to continue its work until the appointment of a successor. The
company plans to convene a Nominating Committee to consider suitable
candidates for the post of chief executive officer, with the subsequent
announcement of the results. On the official website states that Mr. Felix
Vulis is the position of Chief Executive Officer since August 2009 and
also oversees the Committee on Health, Safety and Sustainable
Development Unit. Earlier, before his appointment as Chief Executive
Officer Mr. Felix Vulis served as Chief Operating Officer of ENRC from
December 2006. Analysts JSC "BCC Invest" does not expect further
negative impact on share prices ENRC PLC, as we believe that the
market has already reacted to the news, but do not exclude the fact that
trading on the Kazakhstan market may undergo a decrease in quotations
on the background of their slides on the London trading floor. JSC "BCC
Invest" leaves the updated recommendation to "hold" with a target price
of 11.67 pounds (2,767 KZT) per share.
Analysts of JSC "BCC Invest" and expect the following developments
in international markets today:
- Russia is expected to publish data on official international reserves, the
reserve fund and fund of national welfare.
- in 15:30 (AST) will be published data on the Euro zone index of
investor confidence from Sentix. At 17:00 (AST) in Germany to be
published data on industrial orders.
- In the U.S. publication of important economic statistics are expected.
- Today report OJSC Gazprom, Lorillard Inc, and others.
Analysts of JSC "BCC Invest" give the following advice for investors in
securities of issuers in the domestic Kazakh market::
----------------------------------------------------------------------
Issuer Last price Target Predicted price.
code price % Recom-
mendation
----------------- ------- ---------- ------ ---------------- ---------
Kazkommertsbank KKGB 570 479 -15.96 Neutral
KKGBp 230 335 +45.65 Buy
Halyk Bank HSBK 420 432 +2.86 Hold
Bank CenterCredit CCBN 659 646 -1.97 Hold
Tsesnabank TSBN 865 1,030 +19.08 Neutral
KazMunaiGaz RDGZ 19,200 22,300 +16.15 Buy
Kazakhmys PLC GB_KZMS 3,800 3,977 +4.66 Hold
ENRC PLC GB_ENRC 2,510 2,767 -10.24 Neutral
Kazakhtelekom KZTK 19,650 19,200 -2.29 Hold
KZTKp 9,100 9,300 +2.20 Hold
MREK MREK 1,100 1,130 +2.73 Hold
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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.
[2011-02-07]