Lanka Securities Market Round up 13 August 2015

Colombo shares ended low on Thursday, capping a three day winning streak, as investors booked profits ahead of the parliamentary election. ASI lost 29.14 points or -0.39% to close at 7,442.76 while S&P SL 20 index lost 24.51 points (-0.59%) to end at 4,128.24. In last three sessions, the market gained 101.3 points or 1.4%.

Investors’ offloaded shares in index-heavy Dialog Axiata (closed at LKR 11.60, -2.5%), DFCC Bank (closed at LKR 199.00, -2.3%) and John Keells Holdings (closed at LKR 192.00, -0.6%) which affected negatively to the index. DFCC Bank witnessed a profit decline of 45%YoY during the quarter ended June 2015.

Daily market turnover fell below the LKR 1bn mark after seven sessions to record LKR 979mn. Lanka Century investments positioned at the top of the turnover list with LKR 133mn underpinned by two crossings where 9.4mn shares changed hands at LKR 13.70 per share. John Keells Holdings (LKR 93mn), Lanka IOC (LKR 57mn) and Sampath Bank (LKR 49mn) recorded next best contributions to the market turnover. Other crossings were recorded in John Keells Holdings (0.3mn shares at LKR 190.00 per share). Total crossings accounted for 19% of the market turnover.

Market breadth was negative today with 125 stocks declining 83 stocks rising while 44 counters remained unchanged. Cash map inclined to 42% from 36%. Seven counters advanced to 52wk high prices.

Shares of Lanka IOC, First Capital Holdings, HDFC Bank and Textured Jersey were among heavily traded counters for the session. First Capital Holdings declared a final dividend of LKR 2.00 per share yesterday. The counter advanced to LKR 40.80, +6% during the session but closed at LKR 38.80, +0.5%.

Several banks released their June quarter results today. Commercial Bank (+19%YoY) and HDFC Bank (+70%YoY) reported notable profits while Hatton National Bank (-6%YoY) recorded a marginal profit decline. Despite the profit growth Commercial Bank declined to LKR 172.00, -0.8% while HDFC Bank closed lower at LKR 74.10, -0.3%. Hatton National Bank closed at LKR 225.40, -1.1%.

Further, Dunamis Capital declared their final dividend of LKR 1.00 per share yesterday while Chevron Lubricants declared a second interim dividend of LKR 6.00 per share. Subsequent to the dividend announcement Chevron Lubricants advanced to LKR 409.00, +1%, but closed at LKR 408.00, +0.8%