Last week the
majority of the stock markets across the world were going up but the Baltics
chose the opposite direction. At least the decrease of OMX Vilnius was only 0.63 per cent while OMX Riga and OMX Tallin
shrank by 4.21 and 3.89 per cent respectively. On Thursday, closing value of
OMXV was already below 300 points, which is a psychological support level.
Fortunately, on Friday the index slightly rebounded to 301.75 but it is still
fluctuating in the dangerously low level.
This
week’s leaders were Vilniaus baldai (VBL1L), Gubernija (GUB1L) and Įmonių grupė ALITA (AGP1L) which
increased respectively by 12.50, 11.54 and 10.00 percent. The biggest
difference between huge supply and weak demand in the stock market forced the
prices of stocks to go down and the most heavily hurt were Lietuvos jūrų laivininkystė (LJL1L) and Utenos trikotažas (UTR1L). The prices
decreased respectively by 8.11 and 5.77 percent. Overall 4 114 deals were made
and 9 633 699 securities have changed their owners which resulted in turnover
of 15 478 491.21 EUR.
One of the most
interesting events in the market this week was related to Snaige (SNG1L),
the only refrigerator manufacturer in all Baltic region. After the announcement
that Snaige, together with Kazakh national business corporation “Saryarka”, is
planning to establish a new company, the stock price rocketed by 13.92 per cent
compared to the last trade session and reached its highest level during the
last five months. Snaige finished the
week with the price of 0.25 EUR.
Last week stocks
of Vilniaus Baldai (VBL1L) were at
the top from the perspective that it had a highest increase in price. It
reached a turnover of 38,704 EUR. The closing price was 12.5 % bigger than the
previous week and was worth 3.91 EUR. Despite the fact that Vilniaus Baldai is
part of Invalda group which performance is not very good, VB managed to
increase its net profit by 2 times. This efficiency was achieved by major
changes in company’s activities and is continuing to increase. At the moment VB
is exporting most of its production. The price of stock is in its highest point
since the beginning of 2009 and has a tendency to increase further.
Lifosa (LFO1L), a company that specializes in
fertilizer production got much attention from investors last week. This was
mainly the result of two announcements made by the board of the company. The
first one was made in the weekend before the previous week. The announcement
stated that Lifosa got 10% more profit in January compared to the same month in
year 2009. These were good news for the investors, thus the price per share increased
on Monday, when the trading session started. On Tuesday, the price decreased
nearly to last Friday’s level, which could’ve been the result of short term
speculators leaving the market. Another announcement was made on Wednesday’s
morning, which stated that the firm had lowered its losses by 90 per cent in
the fourth quarter of the previous year, compared to the third one. In result
the stock price increased by 4.6 per cent. Lifosa ended the week with an increase
of 3.92 per cent and got a turnover of 162,262.93 EUR.
Figure 1: Price of Lifosa (LFO1L) shares for
period 21 02 2010 – 28 02 2010
Since
February 26th was the last day to announce the company results of
the previous year, Friday’s turnovers increased significantly. Since some of
the companies have announced them only after trading session, turnovers will be
higher than usual next week. Furthermore, the increase/decrease in share price
will depend on the results the companies have reached throughout the previous
year due to the investors moving their capital to more promising stocks.
However, the market, overall, should become green due to increased interest in the
stock market.
Review by: Indrė Makštelytė, Gintaras Matuzas, Rokas Narkus, Žilvinas Janukėnas, Mantas Stulgys
