TFG Istanbul Morning Report (TFG Istanbul Menkul Değerler )

• The BIST continued its positive trend yesterday as well, albeit less enthusiastically, rising 2/3’s percent to 4360, with a whopping turnover of TRY 121bn, led by the 5.40% gains in the Aviation stocks, whereas the Banks fell by 0.76%, and the Industrials by 0.16%, due to the profit-takings in the iron & steel heavyweights.
• GUBRF closed yesterday limit-up, and was followed by EKGYO and PGSUS and THYAO as the most bought BIST30 stocks, whereas KRDMD, PETKM-due to its dismal financial results, and EREGL, were the most sold blue-chip stocks. The Energy stocks also fared well yesterday among the BIST100 stocks.
• Today, we see a sideways opening, parallel to the global markets, waiting for the results of U.S. midterm elections.
• The TRY is currently trading flat against the USD at 18.58, as well as the DXY at 109.65. Whereas the 2yr yields fell by 10bps to 14.65%, the 10yr rates rose by 25bps to 12.28%.
• On the commodity front, BRENT is continuing to drop sharply, currently at USD 94.22, due to suppressed demand outlook amid rising Covid cases in China, as well as the increase in the supply in the US oil reserves, whereas both ounce and gram GOLD prices are trading higher at USD 1707.30, and TRY 1020, respectively. Short interest on COMEX gold has been hovering around long-term peak levels.
3Q22 RESULTS:
• SUNTK (NEUTRAL): 3Q operational results are in line with our expectation. Sales came in at TRY1.12bn (TFG: TRY1.05bn), up 87.5% y-y and 19.2% q-q, 7% above our expectation. EBITDA came in at TRY135mn, in line with our estimate of TRY138mn. The net profit was a tad below our estimate at TRY116mn, due to a climb in general and marketing expenses. We maintain our Buy call on the stock that offers 70% upside to our target value of TRY69.5.
• ALBRK (NEGATIVE): TRY327mn net profit for 3Q22 is 23% lower than consensus estimate.
• ALARK (POSITIVE): TRY4.2bn 3Q22 bottom-line is 42% above the estimates. Positive market reaction likely.
• BIMAS (NEGATIVE): 3Q22 results are a big disappointment. Net profit is 7%, the EBITDA is 12% below the consensus. The EBITDA margin is a mere 7% while the consensus stood at 8.2%. Negative market reaction likely as the stock was one of the top preferences of brokers as an inflation hedge.
• ENKAI (POSITIVE): 3Q22 results with net profit beating the consensus by 74% and EBITDA surpassed the consensus by 23%.
• TTKOM (NEGATIVE): 3Q22 EBITDA remained 4% below the consensus. The 66% beat on bottom-line is solely due to deferred tax reversal. The bottom-line could have been lower than consensus when deferred tax gains are isolated.
• ULKER (NEGATIVE): TRY -217mn loss in its 3Q22 financials, which could have been even deeper without deferred tax reversals. Analysts were envisaging a positive TRY22mn net profit. Sales and EBITDA are in line with the estimates.
• ALKIM (NEGATIVE): TRY 161mn vs Consensus TRY 207mn vs TRY 27.1mn y/y. Weak results across the board for 3Q22. The EBITDA is 23%, net profit is 22% below the consensus. The EBITDA margin is 25% versus the 33% estimate
• TRGYO (NEUTRAL): TRY 361mn vs Consensus TRY 356mn vs TRY 154mn y/y
• LOGO (NEUTRAL): NI: TRY 113.4mn vs Consensus TRY 111mn vs TRY 48.5mn y/y. Results are in-line with consensus
• GUBRF: TRY 359mn vs TRY 50mn y/y
• DOHOL: TRY 1.64bn vs TRY 89mn y/y
• ZRGYO: NI: TRY 93.8mn vs TRY 67.6mn y/y
NEWS FLOW:
• ASELS: According to the Turkish Defense Website, the British BAE Systems wants to deepen relations with the Turkish indigenous Fifth Generation fighter Jet project “TF-X”, providing embedded technical support across many engineering disciplines. We may see this news flow reflect positively onto ASELS shares.
• SUWEN: Disclosed that it signed an agreement to open 10 stores between 2023-2027 in Azerbaijan.
• PGSUS: Oct. Passenger count rose by 22% y/y to 2.67mn vs 2.19mn
AGENDA:
There are no major local data or international news flow expected today


 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.