Russian stock alert
CLOSING UPDATE: Magnit keeps sliding: down 5.8% in 5 days 15 June 2018 19:47 SAMT
NEWS BITES - BRIC
This is an end of day Alert, produced after today's Russian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).
Magnit, Russia's largest food company by market capitalisation, extended its slide on Friday, shedding an additional RUB13.0 (or 0.3%) to trade at RUB4,675.0. Trading volume was 77% of average at the end of the day. The shares have fallen RUB286.0 (or 5.8%) over the past five trading days vs. the MOEX Russia Index which has fallen 3.4% in the same period.
Technical indicators complementing today's significant downtrend:
+ The negative 50.96 MACD (Moving Average Convergence Divergence) indicator suggests a bearish signal.
+ The stock has underperformed 93% of the Russian market over the past 6 months.
+ In the last three months the stock has hit a new 52-week low once.
+ The price dropped 2.9% in the last week and tumbled 7.1% in the last month.
+ The present value of RUB1,000 invested one year ago is RUB498 [vs RUB1,231 for the MOEX Russia Index].
Magnit today is at a discount of 57.2% to the 12-month high of RUB10,919.0 on 12 Sep, 2017. It is at a premium of 13.2% to the 12-month low of RUB4,131.0 on 09 Apr, 2018.
Interest cover is less leveraged at 7 times.
Tobin's Q Ratio is 1.1. Compared with the rest of the market the stock is undervalued.
Net profit margin has averaged 6.2% in the last 3 years. This is better than the sector average of 5.3% and suggests a high margin of safety.
The Brand Value represents an impressive 39.6% of the estimated Enterprise Value of RUB537.9 billion (US$8.6 billion).
As per the Du Pont analysis, Return on Equity is high at 35.8%. Also, this has improved from 33.2% last year.
Fundamental measures by comparison with the sector average [in brackets] indicate:
Return on Equity 35.8% [31.4%]
Return on Assets 14.6% [12.8%]
Afternoon Alert: Magnit increases 0.2%, leads Food sector higher
15 June 2018 14:06 SAMT
Magnit (MICEX:MGNT) has increased 0.2% to trade at RUB4,697.0 vs. the Food sector which strengthened 7.4 points (or 0.2%) to 3,075.9. Representing a weighting of about 79.5% of the sector, the stock accounted for 63.6% of today's gain. Trading volume was 55% of average so far today.
Morning Alert: Magnit decreases 0.1% on firm volume
15 June 2018 11:38 SAMT
Magnit (MICEX:MGNT) traded on heavy volume of 1.1 times average so far today while the price decreased RUB5.0 (or 0.1%) to trade at RUB4,683.0.
CLOSING UPDATE: Magnit decreases 0.3%, led Food sector lower
14 June 2018 19:46 SAMT
Magnit, Russia's largest food company by market capitalisation, has decreased 0.3% to trade at RUB4,688.0 vs. the Food sector which weakened 14.8 points (or 0.5%) to 3,068.5. Representing a weighting of about 79.6% of the sector, the stock accounted for 52.9% of today's loss. The shares have underperformed 90% of the market in the past week. Trading volume was 74% of average at the end of the day. Compared with the MOEX Russia Index which fell 18.1 points (or 0.8%) in the day, this represented a relative price increase of 0.5%.
Morning Alert: Magnit decreases 0.1%
14 June 2018 11:38 SAMT
Magnit (MICEX:MGNT) traded on volume of 0.9 times average so far today while the price decreased RUB5.0 (or 0.1%) to trade at RUB4,698.0.
Magnit (M:MGNT; MCX:MGNT; MM:MGNT; RM:MGNT)