TFG Istanbul Morning Report (TFG Istanbul Menkul Değerler )

The BIST100 observed heavy losses yesterday, falling by 2.58% to 7514, with one of the lowest turnovers observed in a longtime of TRY 88bn, due to the escalation of the geopolitical turbulence in the area.
• The losses were fairly uniform across the board, with the Transportation stocks managing to observe the least losses compared to their peers, falling by less than 1%, while the losses among the Mining and Energy stocks were deeper, falling by 5.08% and 4.17%, respectively. As such, the BIST leaves behind a month that it will love to forget, falling by nearly 10% in October!
• Among the blue-chips, only TUPRS managed to close positively, and that was by a mere 0.35%, while ODAS, GUBRF and KOZAA & KOZAL were the most sold.
• As of yesterday's session closing levels, the TRY is trading a tad weaker against the USD at 28.32, but slightly stronger against the Euro at 29.92, while the DXY is trading higher at 106.75. The 2yr rates rose by 70bps to 35.16%, while the 10yr rates rose by 3bps to 28.11%.
• On the commodity side, Brent is trading flat at $85.05, and ounce and gram GOLD are trading flat at $1978 and TRY 1800, respectively.
• The Eurozone inflation figures fell more than expected to 2.9% in October, thus its lowest rates for more than 2 years, bolstering expectations that the ECB will not raise rates further. The drop comes after the 4.3% reading in September, and the fall can be largely attributed to the fall in energy prices and food inflation.
• According to the local Ekonomim media report, Treasury and Finance Minister, Mr. Mehmet Simsek, stated that they will switch to inflation based accounting, as of 31 December, 2023, but may not include the financial sector stocks.
• Yesterday, the local trade deficit fell by 47.8% y/y to $9.607bn from last year's figure of $5.12bn. However, the 9m23 level grew by 4.9% to $87.228bn from $83.142bn.
• Türkiye's 3Q23 tourism revenues rose by 13.1% y/y to $20.225bn.
 
AGENDA
 
• On the local front today, the PMI will be released, while the US will be releasing the ADP figures, Construction Spending Figures, and PMI figures, alongside the UK and China's Caixin PMI figures. The FOMC will also be convening today, but is likely to leave the interest rates unchanged.
 
3Q23 RESULTS
 
• AKGRT: Reported Net Sales for the 3Q23 amounted to TRY163mn, a significant deviation from the consensus estimates of TRY 6.3 billion, with a variance of 97%. Although the company achieved a y-y growth of 33.5%, the q-q figures declined by 75%. Despite the considerable impact on revenue in the 3Q23, the Net Profit of TRY132mn exceeded the consensus estimate by 18.5%.
• ASELS : Reported Q3 Net Sales of TRY14.0bn, +103.3% y/y. The result is 12.5% above consensus estimate. The EBITDA totaled TRY2.76bn, with a respective EBITDA margin of 19.7%. Both parameters fall below consensus estimates of TRY3.01bn and 24.2%. Finally, the Net Profit adjusted for the deferred tax income totaled TRY4.03bn, which is significantly above the consensus estimate of TRY3.08bn.
• CCOLA: Reported TRY31.73bn of Net Sales (+82.3% y/y), which is just in line with market expectations. The company’s EBITDA totaled TRY7.65bn, 6.6% above consensus forecast. The EBITDA margin surpassed consensus by 1.5pp and equaled 24.1%. The Net Profit equaled TRY4.33bn, which is 22.1% above consensus.
• TSKB: Posted a Net Profit of TRY1.86bn, modestly surpassing the consensus estimate by 1.5%. This figure also slightly exceeds the anticipated Net Profit of TRY1.83bn. Notably, the company has achieved the highest y-y growth of 65% but a modest 5.2% q-q growth.
 
CORPORATE
 
• EUPWR - Signed a contract worth 1.8 million dollars with NATEN for the 'Energy Transmission Line Construction'.
• MANAS - It was announced that a total bid of 85.7 million TL was submitted for the tender opened by the Kocaeli Water and Sewerage Administration General Directorate for the purchase of Water Meters and Meter Records.
• MEDTR - It was announced that a decision was made to open a CMB Account for 15.6 million TL.
• REEDR - A contract was signed for marketing collaboration related to customer acquisition and development with HepsiPay.
• RYSAS - An application was made to the CMB to increase the company's registered capital ceiling from 600 million TL to 2 billion TL.
• ULUUN - The company received a Call Letter from the authorized Distribution Company for a capacity of 13.96 MW, comprising two 4.2 MW and one 5.56 MW Renewable Energy Source (RES) projects. However, the applications for the remaining two 4.2 MW capacities were given a negative opinion.

 TFG Istanbul Menkul Değerler A.Ş.
  www.tfgistanbul.com/arastirma-raporlar
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                  Yasal Uyarı
 
 Burada yer alan yatırım bilgi, yorum ve tavsiyeler yatırım danışmanlığı kapsamında değildir.Yatırım danışmanlığı hizmeti ; aracı kurumlar, portföy yönetim şirketleri, mevduat kabul etmeyen bankalar ile müşteri arasında imzalanacak yatırım danışmanlığı sözleşmesi çerçevesinde sunulmaktadır.Burada yer alan yorum ve tavsiyeler, yorum ve tavsiyede bulunanların kişisel görüşlerine dayanmaktadır.Bu görüşler mali durumunuz ile risk ve getiri tercihlerinize uygun olmayabılır.Bu nedenle, sadece burada yer alan bilgilere dayanılarak yatırım kararı verilmesi beklentilerinize uygun sonuçlar doğurmayabilir.