Belex continues to slide on low turnover

The domestic stock market has continued its downward trend on modest investment activity. Total turnover on the market amounted to RSD 159.4m (EUR 1.4m), while the index of the most liquid stocks, Belex15, weakened by 0.6% to 990.2 points.

The Petroleum Industry of Serbia (NIIS) was the most active stock in the index but with a modest turnover of RSD 5.2m. The stock weakened by 1.6% during the week to RSD 859 and hit a weekly low at RSD 843. Serbian government officials reiterated last week their intention to allow the Chinese state to invest in a new refinery in Smederevo, which would compete with NIS’ facility in Pancevo.

Shares in Messer Tehnogas (TGAS) fell to RSD 24,000 on a turnover of RSD 3.5m. The company has scheduled the AGM for 19 June, with a dividend proposal of RSD 600 per share compared to RSD 450 last year. As expected, the company continued to allocate less than a quarter of its profit into dividends.

Shares in Dunav Osiguranje (DNOS) continued their downward trend last week, almost uninterrupted since the stock went ex-dividend. The stock fell 4% to RSD 925 and trades at a PE ratio of 5.5x and 65% of its book value.

In the overall market, Nis-based Zitopek (ZTPK) was the most active stock, with a trading value of RSD 17.1m. The majority owner of the company, Don Don, announced its intention to a takeover bid for 49.2% of the shares not under its control.

WEEKLY REPORT, May 13-17, 2024