KSE extends gains as volume ticks up
NAPESCO climbs 20 fils; Wataniya Telecom rallies
KUWAIT CITY, Feb 28: Kuwait stocks pulled higher Thursday to wind up week on an upbeat note. The index, after a wobbly start, climbed 20.21 points to 6,463.47 pts helped by moderate buying in select mid and low priced counters. Some of the frontlines stocks too saw brisk trading even as investors eye more catalysts to sustain the momentum.
The KSX 15 jumped 4.63 pts to 1,037.64 points and has rallied over 37 points from start of the year while the weighted index edged 1.39 points higher to 431.75 pts. The volume turnover meanwhile continued to rise for the second straight day. 385.01 million shares changed hands — up 8.54 percent from Wednesday.
The sectors swung marginally in both directions. Oil and gas outshone the rest with 3.18 percent rally whereas technology slipped 0.78 percent, the biggest loser of the day. Volume wise, financial services garnered the highest market share of 63.65 percent while real estate and industrials followed with 22.97 percent and 4.58 pct respectively.
Combined Group Contracting Co gained 20 fils and NAPESCO too was up by same measure to end at KD 0.465. Gulf Petroleum Investment Co rose 10 fils on back of 2.6 million shares and Hilal Cement followed suit extending the gains in the previous session.
National Industries Co took in 5 fils while Kuwait Gulf Links edged 2 fils higher with a volume of 1.5 million to settle at KD 0.114. The stock has gained 14 fils during whole of the month while year-to-date, it has rallied 26 fils.
Zain climbed 10 fils on back of 1.77 million shares and Wataniya soared 60 fils more than recouping the loss in the day before. The telco has chalked a net profit of KD 75.50 million and earnings per share of 150.66 fils in 2012 and the Board of Directors has recommended a cash dividend of 125 percent. Agility eased 10 fils to KD 0.560.
Slipped
The market opened choppy and slipped into red in early trade. The index troughed at 6,438.5 points and clawed back to trade slightly below the red till the mid-session. It edged higher and moved range bound before revving up in the final minutes.
Top gainer of the day, KFIC spiked 8.74 percent to 64 fils while GPI rose 7.94 percent to stand next. Metal and Recycling Co slid 6.15 percent, the steepest decliner of the day, and Gulf Finance House topped the volume with 81.85 million shares.
Reflecting the day’s gain, the market spread was slightly skewed towards the winners. 49 stocks advanced whereas 43 closed lower. Of the 148 counters active on Thursday, 56 closed flat. 6,357 deals worth KD 27.52 million were transacted — a 6.93 percent rise in value from the day before.
The market has been buoyant from start of the year driven by hope of strong government spending and better-than-expected corporate results in the final quarter of 2012.
“We continue to be somewhat optimistic for the coming period of time in light of two primary factors — the anticipated favorable announcements and financial disclosures for many of the listed companies that have not yet announced and more importantly for the long over-due govern- ment mega projects announcements,” Reuters quoted Fouad Darwish, head of brokerage at Global Investment House.
On the downside, Gulf Cables dropped 20 fils and National Industries Group slipped 2 fils after trading 1.5 million shares. The company has posted net profit of KD 5.02 million and earnings per share of 14.55 fils in 2012 and the Board of Directors has recommended a cash dividend of cash 12%.
RISCO shed 8 fils and Kuwait Foundry Co retreated 8 fils to close at KD 0.122. ACICO eased 2 fils extending an identical loss in the previous session whereas Independent Petroleum Group rallied 20 fils. The company has posted a net profit of KD 5.83 million and earnings per share of 40.35 fils in 2012 and the board has recommended a cash dividend payout of 30 % or 30 fils per share.
Kuwait Pipes was unchanged at KD 0.110 and United Industries Co followed suit. Kuwait Portland Cement too was flat at KD 1.140 off early lows The company has chalked a profit of KD 7.28 million and earnings per share of 80.13 fils in 2012 and the Board of Directors has recommended a cash dividend of 80 % or 80 fils per share.
Unchanged
In the banking sector, National Bank of Kuwait was unchanged at KD 1.000 after trading in red earlier in the day and Gulf Bank too did not budge from its earlier close of KD 0.410. The bank’s income before provisions amounted to KD 121.4 million, up 13% from the year before while net profit was almost flat at KD 30.9 million. The Board has recommended the distribution of 5% bonus shares.
Commercial Bank fell 10 fils to KD 0.680 whereas Al Ahli Bank of Kuwait was up 10 fils at KD 0.580 recouping the loss in the day before. Ahli United Bank stagnated at KD 0.830 off early lows and Kuwait International Bank added 5 fils on back of 1.48 million shares.
Kuwait Finance House traded in red before closing unchanged at KD 0.820 while Boubyan Bank climbed 10 fils. Burgan Bank stagnated at KD 0.560. The lender has obtained the approval of Central Bank of Kuwait to extend permission to buyback or sell up to 10% of own issued shares over a period of 6 months commencing from Feb 5.
International Financial Advisors rose 4 fils with a volume of over 17 million shares whereas National Investment Co held steady at KD 0.150. KIPCO gained 10 fils and Securities House Co ticked 2 fils higher. KIPCO has added 10 fils during whole of the month while year-to-date, it has rallied 25 fils.
The bourse was buoyant during the holiday-curtailed week. It closed higher in both sessions and soared 54.43 points week-on-week. The index has rallied 218.36 pts from start of the month and is trading 8.93 percent higher year-to-date. KSE, with 213 listed companies, is the second largest bourse in the region.
In the bourse related news, Amar For Finance And Leasing has incurred a net loss of KD 217,040 and chalked loss per share of 1.1 fils in 2012 narrowing from KD 181,434 loss and loss per share of 0.9 fils in the year before. The Board of Directors recommended no dividend payout for the fiscal year.
Egypt Kuwait Holding has earned KD 18.92 million in 2012 while earnings per share 22.54 fils. This compares with net profit of KD 37.63 million and earnings per share of 44.84 fils during 2013. The Board of Directors has recommended a cash dividend of cash 10%.
Strategia Investment Co has registered a net profit of KD 10,514 and earnings per share of 0.07 fils as against KD 19,631 profit and 0.13 fils EPS in the year before.