Morning Note /
Turkey

Turkey: We expect a positive opening

  • Positive trend in BIST continues and we are at historical high levels.

  • Global markets are supporting the positive trend and we believe any weakness is still a buying opportunity.

  • Daily resistance levels are: 2,735-2,750-2,800.

ATA Invest
5 August 2022
Published byATA Invest

Positive trend in BIST continues and we are at historical high levels. Global markets are supporting the positive trend and we believe any weakness is still a buying opportunity. TUPRS has been underperforming since the beginning of July due to weak oil prices yet the margins have been very strong and a better than expected 2Q is likely. We recommend accumulating TUPRS from current levels. Daily resistance levels are: 2,735-2,750-2,800. TKFEN, KCHOL, TAVHL, THYAO, ISCTR, AKBNK are the daily trading ideas.

Company news:

  • MPARK TI> bought back 20K shares at an average price of TL40.84 on 04 August 2022. Since 25 May 2022, the total number of shares bought back reached 2.0mn at an average price of TL35.43.

  • SAHOL TI> bought back 590K shares at an average price of TL21.65 on 4 August 2022. Since 09 Nov 2021, the total number of shares bought back reached 59.6mn at an average price of TL16.90. 

  • TTRAK TI> total sales volume decreased by 9.4% y/y in July... On a segmental basis, domestic volume decreased by 12.5% y/y whereas export sales volume declined by 4.6% y/y respectively. Going forward, we foresee TTRAK’s domestic tractor sales volume to decrease by 14.7% y/y to 27.3K units and export sales volume to increase by 8.5% y/y to 17.5K units in 2022E. We maintain our “Outperform” recommendation for TTRAK with our 12M TP of TL332.04. Based on our estimates, the company trades at 22E 5.0x EV/EBITDA and 22E 6.6x P/E, compared to its 5-year average 6.5x EV/EBITDA and 7.5x P/E multiple.