Palestine: Weekly Trading Report - 19 To 23 March

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1. Weekly Trading Report ]19-23/03[ 2017 “Al Quds Index closes at the level of 538.53 points” Active transactions on the blue-chips amid continued approval of dividends’ distribution With accelerating holding the general assembly meetings of the listed companies in order to approve the dividends distribution and close the previous year, the blue-chips witnessed active trading this week, supported by executing an institutional transaction of 1.20 million shares on the stocks of the largest investment company by market capitalization- Palestine Development and Investment PADICO, to top the trading value of Palestine Stock Exchange PEX by 32.05%. Moreover, the stock of the largest bank by market capitalization- Bank of Palestine BOP followed by 22.07%, then came the stock of the largest company by market capitalization- Palestine Telecommunications PALTEL by 16.32%. On the other hand, Al-Quds Index increased by 0.31% than the previous week, to close at the level of 538.53 points. In the coming weeks and with the continued approval of dividends’ distribution, the stocks that distribute dividends will witness an automatic decline in price in the days that follow the distribution decision date by a percentage that approximates its dividends yield in order to meet the equivalent price. This scientifically is attributed to the fact that the stock price that holds the cash dividends prior to the general assembly meeting date is not equivalent to the price that doesn’t hold these dividends after the entitlement. Regarding the dividends distribution recommendations for the year 2016, the board of directors of the National Carton Industry Company NCI raised a recommendation to the general assembly, which will be holding a meeting on 27/04/2017, to distribute 6% cash dividends for the shareholders, to record dividends yield of 5.66% according to the current stock’s price. However in this week also, the general assembly of Palestine Insurance Company PICO approved in its meeting on 19/03/2017, distributing 40% cash dividends for the shareholders, to record 36.30% payout ratio and 15.69% dividends yield based on the price prior to the general assembly meeting date. However, PICO’s price didn’t decline below its equivalent price. Moreover, the general assembly of Al-Shark Electrode Company ELECTRODE approved in its meeting on 23/03/2017, the recommendation of the board of directors to distribute 12% cash dividends, to record 96.00% payout ratio and 6.00% dividends yield based on the price prior to the general assembly meeting date . Regarding the significant news of the listed companies, the general assembly of the Arab Palestinian Shopping Centers BRAVO approved, in its extraordinary meeting on 22/03/2017, converting the company from public shareholding company to private shareholding company. According to this decision, trading was halted on the company’s stocks beginning from 22/03/2017 in preparation to delist it from the PEX after completing the whole procedures by the competent parties. On another hand, the subscribed capital of Palestine Plastic Industrial Company LADAEN was reduced from 7 million shares/JOD to 700 thousands shares/JOD; by 90% according to each’s investment, in order to cover the accumulated losses of the company. This decision was executed based on the ordinary general assembly meeting decision in May 2016.
2. Weekly Report Market Indices & Top Gainers Index/ PEX Opening Closing Change 536.85 538.53 0.31% 154.98 154.63 Industry 77.74 Insurance Investment Services Al Quds Symbol Opening Closing Change GUI 1.55 1.69 9.03% -0.23% MIC 0.98 1.04 6.12% 77.60 -49.93% JCC 0.72 0.76 5.56% 66.78 67.40 -13.30% ISBK 2.16 2.24 3.70% 25.22 25.08 -62.44% UCI 0.37 0.38 2.70% 44.46 44.73 77.36% WATANIYA 0.82 0.84 2.44% Banking & Financial Services Summary of the Week Performance Item Current Week Last Week Change Daily Average Ratio of this Week Daily average of Change Ratio 2016 # of Shares 3,377,847 3,874,098 -12.81% 675,569 950,275 -28.91% Value in USD 5,612,341 7,441,985 -24.59% 1,122,468 1,816,948 -38.22% Most Active Companies This Week # of Traded Total value Shares (USD) 1,699,543 BOP PALTEL Company Name 52 Weeks Price Open Price Close Price % Change 1,798,685 1.09 1.08 456,867 1,238,654 2.70 125,159 915,897 5.05 ISBK 290,610 640,756 APIC 111,062 PEC High Low -0.92% 1.22 1.01 2.74 1.48% 2.90 2.48 5.07 0.40% 5.60 4.75 2.16 2.24 3.70% 2.26 1.25 205,510 1.87 1.86 -0.53% 1.95 1.12 160,923 178,278 1.12 1.11 -0.89% 1.39 1.09 AIB 93,918 175,675 1.92 1.88 -2.08% 1.98 1.32 QUDS 108,580 155,216 1.45 1.44 -0.69% 1.45 1.11 PICO 16,409 41,843 2.55 2.55 0.00% 2.55 1.63 AQARIYA 42,208 41,709 0.73 0.73 0.00% 0.76 0.70 PADICO A registered member at PEX, regulated by PCMA Tel 02-2965710 / Fax: 02-2965713 / P.O. Box: Ramallah (2187) E-mail: Research@Sahem-inv.com