|
Authorization
Lost user data?
|
||||||||||||||||||||||||||||||
|
Indices: / OMXR 1.07% / OMXV 0.98% / OMXT -2.15% / OMXS30 -3.42% / OMXH25 -3.62% / MICEX -3.14% Stocks: ALT1L -14.29% / SAF1R -11.90% / RSU1L -11.11% / NDA1V -10.93% / ARC1T -10.00% / EWY 18.79% / TUR 17.49% / FXI 15.60% / SLX 14.73% / RST1L 14.63% Porfolios: fanfan 10.78% / A3 9.82% / Gold lump 8.54% / ETFs 8.26% / Quantum Fund 8.21%
Stockholm Stock Market Overview (OMX) 29/01/2007 – 2/02/2007
This week was a “big” time for the share price increase in almost all of the Stockholm Stock Market companies, which has lead to 1,30% increase in OMX Stockholm Index (OMXS30) comparing with the last week’s 0,21%. In this overview we will continue to analyze AstraZeneza (AZN) that has shown how sharply the price could fluctuate in the two weeks period. As it was already mentioned, nearly all companies have had a positive change in their share prices, so to give some broader vision of the market situation, we will look at companies that were not mentioned in the last overviews, namely Assa Abloy (ASSA B) and Skanska AB (SKA B).
The week 4 looser AstraZeneza (AZN) in week 5 has become the most successful company on the Stockholm Stock Market having the greatest change of €2.30, which is 5.43% of last week’s share price. The reason for that is very simple: on the 1st of February AstraZeneza (AZN) reported its Quarter 4 performance. The main point was a jump of earnings per share (EPS) from last year’s .77 to .93 in Quarter 4 2007. Moreover, the company has announced its plans and expectations in the nearest future, which were a proposal plan to cut 3000 positions and rationalize production assets and company’s anticipation of sales growth in 2007. Although AstraZeneza (AZN) pessimistic view of their sales, the analysts expect the company to report earning for this year .32 billion revenues. This fact cannot be ignored by the shareholders and that is why the price rose so dramatically during week 5 and might continue to do so in the next week as well.
The changes in the Assa Abloy (ASSA B) share prices were not so significant as in the AstraZeneza (AZN) case; however, considering the Assa Abloy (ASSA B) starting share price on 29/01/07 was equal to €16.50 it rose by almost the same percentage (+5.32%). On the 2nd of February the company has acquired US’s Pemko Manufacturing for undisclosed sum. Assa Abloy (ASSA B) reported that the acquisition of Pemko will bring into the company a well organized and highly respected producer of door components. Furthermore, the Pemko product line is complementary to the Assa Abloy (ASSA B) existing product offerings and distribution channels. The CEO justifies the acquisition by the fact that it’s expected to be EPS accretive from inception. So, this even might influence the share prices during next two weeks in a positive way.
The third company that we are interested in week 5 is Skanska AB (SKA B). Nevertheless it has had only 2.73% increase in the share price during the last week; the nearest future for this company looks very tempting. On the 31st of January the company has signed an agreement to acquire land for residential development in Stockholm for approximately €36 millions (SEK 330 millions). A new asset always increases the share price of the company, but in this case the bought land is in a highly attractive location with immediate access to waterfront and public communications. Skanska AB (SKA B) has already started to prepare a new detailed development plan for some 500 residential units and about 40000 square meters of commercial premises. A very likely position for a sharp rise in the Skanska AB (SKA B) share price in the nearest future.
By Dmitro Golubnichy
|
|||||||||||||||||||||||||||||
