TFG Istanbul Morning Report (TFG Istanbul Menkul Değerler )

• The BIST closed yesterday on a sad-distractive, and confused trading mood, on the back of the horrific twin-earthquakes that hit southeast Turkey, with a loss of 1.35%, and low turnover of TRY 20.7bn-due both to the ban on intraday trading (buyers could not sell their buys on the same day), as well as traders’ understandable lack of trading will, but closed with reactionary dip-buying, coming from just above the circuit-break level of 4747 level.
• The best performers were the construction, cement and iron-steel stocks, for the obvious reason, whereas the Insurance sector was down 3.8%, Banks lost 2.18%, and the Industrial and Conglomerates lost 1.11% and 1.34%, respectively.
• KRDMD was the best performer among the BIST30 stocks, and was joined by TKFEN and ASELS, whereas GUBRF, GARAN and SASA were the most sold.
• Today, we expect a positive opening, as the BIST will try to normalize, as the intraday trading ban has been removed, despite the wreckage and depressive mood. Global equity markets are also somewhat strong.
• As of yesterday’s close, the TRY is trading flat against the USD at 18.83, but a tad weaker against the Euro at 20.22, whilst the DXY has slid slightly to 103.50.
• On the commodity front, Brent has risen to USD 81.71, and both ounce and gram GOLD have pared yesterday’s losses, and are trading higher today at USD 1874 and TRY 1135, respectively.
• BTC Oil port will remain shut until Wednesday, due to the massive earthquake, according to port agent, Tribeca Shipping. Please note that the BTC terminal, located at the earthquake stricken city of Ceyhan, Adana, handles crude oil from Azerbaijan.
• January REER came in at 56.99 vs. previous revised rate of 54.76
4Q22 FINANCIAL RESULTS:
• ISCTR: POSITIVE: Disclosed 4Q22 (TFG: NI: TRY 19.437bn vs Est. TRY 19.404bn). Isbank posted TRY23.5bn net profit in its 4Q22 financials, which is 21% above the consensus as well as TFG Istanbul’s expectation. While the key operating lines are parallel to our expectations, the net profit was elevated by lower provision expenses, income from subsidiaries and trading income. Provision expenses were TRY2bn below our forecast. While we were already expecting the contribution of subsidiaries to more than double y-y, the number ended up TRY2.3bn higher than our expectation. Trading gains on the other hand had TRY1.3bn incremental support. For 2023, the Bank sees loans above 40%, NIM above 5%, F&C about 80%, CAR above 15%, and NPL below 3%.
• TTRAK: POSITIVE: Turk Traktor posted strong results across the board. The TRY1.36bn net profit for 4Q22 is 61% higher than expectations due predominantly to deferred tax reversals while the TRY1.18bn EBITDA is 8% above consensus mean. The EBITDA margin of 16.4% is 90bp better than consensus. For 2023, sees the local market size between 57k-63k units, domestic sales at 27k-31k units, exports at 17.25k-19.25k and CAPEX at TRY 1.3bn
NEWS FLOW:
• TURSG: Disclosed that it bought back 1.3mn shares yesterday
• AYGAZ: Disclosed that it will increase the paid-in capital of its 50% subsidiary in Bangladesh to 4.5bn Takas.
• BRSAN: Disclosed that it has been refunded USD 48.9mn in taxes regarding its pipe exports to the U.S. between 2018-19.
• KOZAL: Disclosed that the company increase its paid-in capital by 2000% to TRY 3.2bn on Feb. 14.
• NTGAZ: Disclosed that it will raise its registered capital to TRY 3.5bn from the current TRY 250mn level.
• ORGE: Disclosed that it will received €9mn from its various metro electrical works
• SMRTG: Disclosed that will establish two companies in Holland and Spain with €50k paid-in capital each.

 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.