NIS continues its upward trend, Belex drops

The Serbian stock market declined for the second week in a row, but with increased investment activity. Total market turnover, due to weaker activity in the bond market, reached RSD 103.8m (EUR 0.9m), while the index of the most liquid shares, Belex15, weakened by 0.2% to 874.5 points.

The Petroleum Industry of Serbia (NIIS) once again confirmed absolute dominance, after the company announced business results for 2022. NIS announced an FY22 net income of RSD 92.4bn compared to last year’s RSD 21.0bn, thanks to the high crude oil price, growth in demand, and lower costs due to the supply of cheaper Russian oil. NIS shares ended the week up 2.3% at RSD 748 with a turnover of RSD 56.1m. The stock has been experiencing increased demand for weeks, primarily due to its attractive fundamentals and an expected dividend yield of almost 20%.

Shares in Messer Tehnogas (TGAS) were among the most traded, with a turnover of RSD 10m and an increase of 1.9% to RSD 13,300. Since the beginning of the year, Tehnogas have recorded a growth of 6.6% after falling below the level of RSD 12,000 in November last year due to the aggressive selling of the Croatian investment fund, ZB Invest.

Belgrade Airport (AERO) also recorded increased volume with a price drop of 2.5% to RSD 1,804. The total trading value of the stock reached RSD 8.1m, mostly at RSD 1,800.

Shares in Dunav Osiguranje (DNOS) also fell by 2.5% to RSD 1,131, with a turnover of RSD 5.0m. The stock decreased for the second week in a row under increasing pressure on the ask side. The company expects to announce business results for 2022 next month, which should show whether H2 has mitigated the poor performance of the first six months due to increased claims costs.

WEEKLY REPORT, February 20-24, 2023