PH STOCKS CON­TINUE SLIDE, DOWN TO 7,700

Philippine Daily Inquirer - - BUSINESS - By Doris Dum­lao-Abadilla @Philbizwatcher

The lo­cal stock barom­e­ter slid to the 7,700 level on Tues­day as for­eign sell­ing re­sumed while in­vestors priced in the fi­nal wave of lo­cal cor­po­rate earn­ings re­ports.

The main-share Philip­pine Stock Ex­change in­dex (PSEi) tum­bled by 146.86 points or 1.87 per­cent to close at 7,723.39.

All coun­ters ended lower but the fi­nan­cial and min­ing coun­ters were the most bat­tered, both de­clin­ing by over 2 per­cent.

The in­dus­trial, hold­ing firm, ser­vice and prop­erty coun­ters all de­clined.

To­tal value turnover stood at P7 bil­lion. There were 161 de­clin­ers that edged out 57 ad­vancers while 34 stocks were un­changed. Net for­eign sell­ing for the day amounted to P453.84 mil­lion, rev­ers­ing the pre­vi­ous day’s mod­est for­eign buy­ing of P139 mil­lion.

One no­table de­cliner was Pure­gold, which slid by 9.14 per­cent as in­vestors priced in dis­ap­point­ing fourth quar­ter 2017 earn­ings re­sults and slower sales guid­ance for 2018. This was the day’s most ac­tively traded com­pany.

Dur­ing the quar­ter, Pure- gold’s net in­come grew by 3.2 per­cent year-on-year to P1.9 bil­lion, bring­ing full-year bot­tom line to P5.8 bil­lion or 5.7 per­cent higher.

“Re­sults un­der­per­formed both COL and con­sen­sus es­ti­mates, ac­count­ing for 96.8 per­cent and 96.2 per­cent of full-year fore­casts, re­spec­tively,” stock bro­ker­age COL Fi­nan­cial said. “The un­der­per­for­mance was mainly due to higher op­er­at­ing ex­penses amid Pure­gold’s faster store ex­pan­sion in fourth quar­ter 2017.”

Mean­while, COL noted that Pure­gold’s guid­ance for 2018 was a slower sales growth of 68 per­cent ver­sus 8-10 per­cent in 2017.

In­vestors also sold down shares of URC and Me­ga­world, which both fell by over 4 per­cent, while Ayala Corp., BDO and BPI all de­clined by over 3 per­cent.

PLDT, JG Sum­mit and Metro Pa­cific all fell by over 2 per­cent, while Jol­libee, Metrobank, SM Prime, SM In­vest­ments and Globe all lost over 1 per­cent. Ayala Land slipped by 0.63 per­cent.

Mean­while, no­table ad­vancers were non-PSE stocks. Vi­tarich gained 12.83 per­cent while Bloomberry and Me­gaw­ide both firmed up.

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