Lanka Securities Market Round up 17 June 2015

Colombo shares ended on flat note on Wednesday, as the main index marginally advanced by 5.11 points or 0.07% to end at 7,049.71 while S&P SL 20 index marginally advanced by 3.70 points (+0.09%) to end at 3,914.76.

Price depreciations in primary blue chips such as John Keells Holdings (closed at LKR 197.00, +2.0%), Hemas Holdings (closed at LKR 83.00, +3.4%) and Distilleries (closed at LKR 275.00, +1.7%) contributed positively to the index performance.

Daily market turnover crossed the LKR 2bn mark after one month to record a turnover of LKR 2.1bn supported by notable crossings recorded in John Keells Holdings (5mn shares at LKR 194.00 per share), Nation Lanka Finance (78mn shares at LKR 4.00 per share), Nestle Lanka (0.02mn shares at LKR 2,050.00 per share) and Nations Trust Bank (0.3mn shares at LKR 98.00 per share). Negotiated deals in John Keells Holdings accounted for 45% of the market turnover while total crossings accounted for 63% of the market turnover.

Among the blue-chips, Nestle Lanka and Ceylon Tobacco continued its downward trend in the morning session but managed to gain ground and closer higher. Ceylon Tobacco recorded a fresh 52wk low price of LKR 900.20, -1%, but managed to recover and close at LKR 910.00, +0.1%. On the other hand, Nestle Lanka dropped to LKR 2,000.00, -1% in the morning session, but managed to close at LKR 2,020.50 with flat returns. Nestle declined by nearly 9% in this month so far. In the meantime, Nestle is battling its worst-ever brand crisis in India where Nestle India is expected to lose USD 45mn from the continuing withdrawal and destruction of
its Maggi instant noodles.

John Keells Holdings emerged as the top contributor to the market turnover with LKR 964mn while Nation Lanka Finance (LKR 326mn), Anilana Hotels & Properties (LKR 47mn) and  Nestle Lanka (LKR 41mn) recorded next best contributions to the market turnover.

Subsequent to the hefty transactions recorded in Anilana Hotels & Properties and Nation Lanka Finance, the average daily volume reached nearly 4-month high of 181mn shares.

Gainers surpassed the losers 101 to 86 while 61 counters remained unchanged. Cash map marginally improved to 41% from 40%. 05 counters advanced to 52wk high prices while 8 counters declined to 52wk low prices.

 http://www.lsl.lk/pdf/research/marketroundup.pdf