Despite another positive opening thanks to the banking sector shares, breathless weakness in TL brought selling in equities before closing yesterday in BIST. We are starting the day with a 10.40 TL/USD rate this morning which is 6% higher than a week ago. Today we expect a weak opening in BIST toward 1,675 which is a critical support level which may be followed with 1,645-1,640 in case broken. The risk appetite in global markets is weak which is another signal for profit-taking sales.
Company news:
*YKBNK: Unicredit sold 33m shares of Yapi Kredi shares in the market yesterday. After agreeing to sell its 18% stake at a pre-determined price of TL2.39/share, Unicredit had announced that it would sell the remaining 2% in the market. This leaves roughly 135m more shares to be sold
*PGSUS TI> Total PAX was up by 38% y/y to 2.2mn in October... On a segmental basis, domestic PAX was up by 6% y/y in October 2021 while international PAX was up by 115% y/y during the same period. International share in total ASK was up to 69% in October 2021 from 58% a year ago. Total load factor (LF) was up by 117bps y/y to 79.5% in October 2021 mainly due to 810bps increase in international load factor. Domestic load factor declined by 200bps y/y in October 2021. Although load factor in October 2021 is 79.5%, when we adjust this KPI for aircrafts on the ground by dividing PAX in October 2021 to seats of October 2019, we find a load factor of %71.3. We believe there is a m/m increase in load factor trend in October 2021. Currently, we expect 2021E ASK to be 32.9bn compared to 22.3bn in 2020 and 2021E load factor to be %77.9 compared to %80.2 in 2020. We also expect total PAX to increase to 20.6mn in 2021E from 14.7mn in 2020. Recall that total PAX of 14.7mn in 2020 was 52.2% below the total PAX of 30.8mn back in 2019. We believe it might take several years to catch 2019 PAX figures depending on the pace of easing in Covid-19 restrictions.
*BIMAS: will pay 2TL / share dividend today and the reference price will be TL 64.35
*ENKAI: Sinan Tara bought 100k shares in between TL12.63-12.95 range.
Weekly Agenda:
18 Nov: MPC One-week repo rate (Consensus 100bps cut to 15%)